A shipping and logistics company is planning to migrate its tracking systems to the AWS Cloud. The finance team wants to understand the economic advantages of this transition compared to their traditional on-premises data center.
Which of the following are primary financial benefits of migrating to the AWS Cloud? (Select TWO).
- Replacing upfront capital infrastructure costs with variable, consumption-based operating expensesAnswer
- Eliminating the need to estimate resource capacity requirements by leveraging dynamic scalingAnswer
- CIncreasing capital expenses (CapEx) to purchase and own dedicated physical hardware in AWS data centers
- DAvoiding operational expenses (OpEx) entirely by utilizing AWS Free Tier resources for all production workloads
- EStandardizing on a monolithic software design to minimize ongoing network transfer costs
Answer
Replacing upfront capital infrastructure costs with variable, consumption-based operating expenses, and eliminating the need to estimate resource capacity requirements by leveraging dynamic scaling
The correct benefits are replacing upfront capital infrastructure costs with variable, consumption-based operating expenses (shifting from CapEx to OpEx) and eliminating the need to estimate resource capacity requirements by leveraging dynamic scaling (elasticity). These two features allow companies to reduce upfront hardware spending and avoid paying for idle, over-provisioned capacity.
Step-by-Step Solution
Key Concept
Shifting from capital expenses to operational expenses and leveraging elasticity to eliminate guessing capacity.
Estimated Time:1m 0s