Gartner Research

FAQ on Cloud Financials

Published: 27 September 2011

ID: G00225357

Analyst(s): Biswajeet Mahapatra

Summary

Cloud-based solutions have important financial implications. A lack of understanding can result in unexpected financial problems.

Table Of Contents
  • Overview

Analysis

  • What Are the Financial Benefits of Cloud?
  • What Extra Financial Burdens May Arise Due to Cloud Adoption?
  • Is Moving From a Capex to an Opex Model Always Beneficial?
  • What Are the Risks of Moving From a Capex to an Opex Model When Adopting a Public Cloud-Based Solution?
  • How Do These Risks Run With Private Clouds or Hybrid Alternatives?
  • What Areas Do Vendors Hide When Pitching Public Cloud Platforms via Opex Versus Capex?
  • Is Switching to Opex Good?
  • If Costs Are Only 1% of Revenue, Do the Monetized Risks of Using Public Cloud Services Providers Exceed Savings?
  • Which Cloud Forms and Implementations Offer the Best Savings and Are the Most Financially Viable?
  • Are There Geographic Issues Related to Cloud Adoption?
  • What Other Parameters Help Cloud Financial Calculations?
  • Bottom Line

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