A logistics company, FleetRoute, operates a package tracking application that experiences high traffic during business hours and very low usage overnight. The company is migrating this workload from an on-premises data center to the AWS Cloud to optimize its infrastructure spending. Which two of the following represent core cloud economics concepts or benefits that the company will realize after this migration?
- Trading upfront capital expenses (CapEx) for variable operating expenses (OpEx) that align costs directly with actual usageAnswer
- Reducing overall costs by using elasticity to scale down compute resources automatically during periods of low overnight demandAnswer
- CEliminating operating expenses (OpEx) entirely by shifting all infrastructure costs to a fixed annual billing cycle
- DDecreasing baseline costs by deploying On-Demand Instances to run continuous, predictable background database workloads
- EOptimizing costs by permanently overprovisioning compute resources to handle maximum anticipated peak capacity
Answer
The correct options are: trading upfront capital expenses (CapEx) for variable operating expenses (OpEx) that align costs directly with actual usage, and reducing overall costs by using elasticity to scale down compute resources automatically during periods of low overnight demand.
The correct options describe two fundamental cloud economic pillars. First, transitioning to AWS changes spending from upfront capital investments (CapEx) to variable, usage-based operating expenses (OpEx). Second, leveraging elasticity allows the infrastructure to automatically scale down when demand drops overnight, eliminating payment for idle resources.
Step-by-Step Solution
Key Concept
Cloud economics and the financial benefits of moving to AWS, specifically CapEx to OpEx shift and elasticity.