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GitLab all set to go public as revenues – and losses – rise

bazza Silver badge

Years ago I was given a metric by someone who knows their stuff; it was something like £1million worth of server kit would take about another £1million to run it properly, every year. That's power, staff, back office staff, hardware refresh, land costs, waste disposal costs, cleaners, etc.

Cloud is a way of spreading some of those costs across the cloud provider's very large customer base; all benefit from the provider's economy of scale. They make money by not passing all of that saving on to the cloud customers.

It's also potentially just another way of putting all one's eggs in one basket, and one that you're powerless to fix when it breaks. And they do break, just not very often. Google takes a day off because of some sort of snafu on their part, you're down until they've worked out what they've done wrong (unless you can equally well stand up resource on a competing provider). For this reason some people still prefer on-prem, or hybrid; some businesses find it works best for them like that.

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