Gartner Research

Three Ways to Reduce Storage Costs When Working With Managed Hosting Providers

Published: 18 August 2015

ID: G00277662

Analyst(s): Santhosh Rao , Pankaj Prasad


Storage services usually account for one of the highest costs in a data center outsourcing contract. Sourcing managers should therefore negotiate terms and conditions that ensure savings relative to similar in-house solutions.

Table Of Contents
  • Key Challenges



  • Benchmark Service Provider Storage Costs Against Market Prices Every Eighteen Months and Ensure That Price Renegotiation Is Part of the Contract
  • Negotiate SLAs That Meet Your Organization's Need for Agility, Capacity, Performance/Throughput and Support Requirements
    • Step 1
    • Step 2
    • Step 3
    • Step 4
    • Step 5
    • Additional Recommendations
  • Perform Cost-Benefit Analysis to Evaluate Viability of Public Cloud SaaS Providers and Private Cloud Options With Your Managed Hosting Service Provider as Alternatives to Host Applications

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