How Much Does A Cloud Server Cost for Business?

Pricing Model of A Cloud Server Host

The cost of a cloud based server depends on the business requirement. There are various business functions, operations, and sections for which a company uses cloud services. With specific usage of operation at a particular time, a company can manage its cloud based server cost. However, RAM, CPU, storage, and bandwidth are the deciding factors in cloud-based server cost. Let's discuss them.

Cloud Servers With Cost Comparison

The cheapest cloud computing server has an estimated price of $5 monthly or $0.007 per hour providing 1GM RAM with a capacity of 25GM storage under a single-core CPU to run lightweight applications. The cloud based server cost gradually increases as companies upgrade them to conduct multiple operations

type of cloud payment methods

There are several financial modules for pricing server costs. You should review all server financial modules before purchasing them and identify which one is more convenient, secure, and scalable as per your business needs.

• 1.Pay-As-Per-Use:In this method, the cloud service taker pays only for resources used by the organization. If the organization does not need huge data storage and running operations the whole day, then this module can reduce and save costs.
• 2.Save on Commitments:Cloud server providers take advantage of and benefit from the quick payment process. If a company buys a long service plan where it pays for three years of service in a one-time payment, it unlocks bumper discount options along with some additional features. On the other hand, if the amount is paid for the service monthly basis. There are fewer options to save money or get big discounts.
• 3.Pay Less with More:This pricing module allows the user to reduce costs when they increase their service. For example, if you purchase a 1TB storage plan with $1 monthly, and when you upgrade your storage plan to 10 TB, you will pay $9 a month. This means you are now paying $0.90 for 1 TB and paying less in outsourcing more.​

Cloud Server Vs Dedicated Server

Both cloud servers and dedicated servers are hosting solutions that have different features and advantages. A dedicated server is a physical server that a company uses within its organization. Here is a brief comparison of cloud servers vs dedicated servers.

• 1.Cost:Dedicated servers are expensive and have more operating power than external servers. However, cloud servers reduce costs and allow companies to pay only for the resources they use.
• Customization:A dedicated server has more control over the in-house system and can customize the hardware and software. It is more reliable for companies to execute their high-performance applications and there is no security risk. On the other hand, cloud servers make you comfortable and stress-free and are a better option for smaller organizations that do not require expert technical support.
• Scalability:Cloud servers are easier to scale up with demands up and down whereas a dedicated server requires a comprehensive plan to execute it perfectly such as upgrading software and hardware.

A dedicated server or cloud server both are important for a business organization. However, larger organizations rely on dedicated servers while smaller organizations prefer cloud servers. ​If you are seeking any cloud service for your business, then you can consult our Back Office Services team, and we will help you best.

Things to Consider While Choosing a Cloud Server

Here are the following things you need to keep in mind when looking for a cloud server.

• Cost:When looking for a cloud server, you should review different cloud hosting providers and choose as per your needs. Additionally, you should review their pricing models such as pay-per-use, spot instance, and reserved instance. Don't forget to check for hidden charges like data, transfer, and storage charges.
• Performance:Different types of cloud servers provide services for different purposes. Before choosing one, identify your purpose for connecting to them and consider your applications and work. Also, select the nearest data center as the distant data center may affect the performance of your application.
• Reliability:This is the most important factor to consider when looking for a cloud server, as there are many cases of companies losing their data due to errors and downtime. Read all terms, compensation, and guarantees carefully before purchasing a cloud server.

Moreover, there are more important factors to consider before choosing a cloud server such as support, security, scalability, etc.