Earlier this year we released our report on the cost of cloud. Through this white paper we discovered the complexities of cloud costs for businesses and alternatives beyond the hyperscalers. This white paper saw 1,000 cloud developers surveyed about the management of their cloud services, and the degree of costs associated with it.

From this analysis, we were able to come up with 5 key takeaways outlining the degree to which hyperscalers are overpromising and under-delivering.

The big three should reduce their charges

Developers are clearly not satisfied with the status quo offered by hyperscalers. This came after 82% of businesses surveyed think the big three hyperscalers should reduce their charges. From this, the average amount enterprise respondents say their organization spends a month on their cloud deployments is $49,600.

With Civo Kubernetes, we only charge for the resources used by Kubernetes worker nodes and any additional paid addons like Persistent Volumes or Managed Databases. To see how much you can save with Civo versus other cloud providers, visit our pricing page.

Hyperscalers give the impression they are low cost

With 68% of all respondents believing that the perception ‘cloud is cheaper’ is misleading and 81% saying that hyperscalers try to give the impression they are low cost, it is easy to understand why developers are not satisfied. This shows that despite the promises of leadership, choosing hyperscalers does not lead to a drop in costs.

Public cloud users get stung by unexpected costs

With 37% of public cloud users being stung by unexpected costs in the last 12 months, it is evident that complex billing models are being used. This results in difficulties for businesses as they try to navigate unexpected costs. An example of this was seen in 2020 when start-up Milkie Way accidentally incurred a bill of over $71,000 over the course of a few hours of testing.

Cloud providers should remember that the goal is not to create additional anxieties and worries for IT teams about spiralling costs. We should be streamlining infrastructure management and developing features for tech professionals to focus on what these businesses do best: creating the innovative solutions that are essential for success in today's tech-driven world.

Difficulties calculating how much cloud providers charge each month

34% of developers claimed to find it difficult to calculate how much their cloud provider is going to charge them each month. Hyperscalers have lots of unnecessary complexity and more moving parts in their offerings, increasing the chance of issues for businesses. This shows that the big cloud providers are continuing to pursue profit at the expense of their users.

Developers have security concerns

There is a misconception that your business is more secure and stable with a larger public cloud provider. This was shown as 47% believe they will suffer more outages. In the last year, larger cloud providers such as Amazon, Google and Microsoft have all suffered significant outages with Amazon having had 27 outages in a 12 month period.

51% of developers went on to say they believe the alternative cloud providers outside the 'Big Three' are less secure. From this, the lesson is that bigger is rarely better when it comes to choosing a cloud provider. The additional complexity involved in securing public cloud endpoints using the hyperscalers is an ongoing security risk for businesses.

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