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  • Cloud Computing

The Initial Investment

Comparing the cost of a Physical Server with Cloud Computing

Initial Investment
Hardware & Operating System
Server Setup (environment & users)
Server Setup (software configuration)
Back Up Equipment
Total
Physical Server
$ 3,270
$ 650
$ 520
$ 751
$ 5,191
Cloud Computing
 
$ 400
 
 
$ 400

  

Costs Compared Monthly

Monthly Costs
3 Year Server Life
Cloud Computing
Server Room
Electric (AC and Power)
Remote Back Up Service
IT Personnel
Total
Physical Server
$ 144
 
$ 97
$ 32
$ 66
$ 260
$ 599
Cloud Computing
$ 11
$ 200
 
 
 
 
$ 211

  

Comparison Assumptions and Sources

Hardware & Operating System Dell Power Edge T620  Link to Dell

Server Setup (environment & users) Based on IT support @ $130/hour - 5 hours

Server Setup (software configuration) Based on IT support @ $130/hour - 4 hours

Backup Equipment Synology Diskstation DS712+  Link to NAS

3 Year Server Life The total initial investment of the Physical Server $ 5,191 / 36 months and the total cost of the Cloud Computing $ 400 / 36 months

Server Room Nationally the average rate for office space (2nd qtr 2013) was $23.23 per sq ft. Server room size is 50 sq ft.  Link to Article 

Remote back up service Carbonite basic server plan, starting at $799 per year   Link to Carbonite 

IT Personnel Based on IT support @ $130/hour - 2 hours per month

The Cloud Computing example is based on a server configuration capable of running our full suite of Prosoft software for a builder business with a volume of 30 homes per year. This capacity can be easily scaled to a building volume in excess of 1000 homes per year with moderate cost adjustments.