An online education startup wants to avoid paying heavy upfront costs for physical servers and data centers. Instead, they want to pay only for the computing resources they consume on a monthly basis. Which benefit of the AWS Cloud is best described by this approach?
- ATrade variable expense for capital expense
- BEliminate scaling concerns by provisioning for peak capacity upfront
- CConsolidate resources into a tightly coupled monolithic system
- Trade capital expense for variable expenseAnswer
Answer
Trading capital expense for variable expense allows the startup to pay only for the resources they consume instead of investing heavily in data centers and servers beforehand.
Trading capital expense for variable expense allows organizations to pay only for the resources they consume rather than investing heavily in physical data centers and servers before using them. This provides cost flexibility and reduces upfront financial risk.
Step-by-Step Solution
Key Concept
Trading capital expense for variable expense (CapEx to OpEx shift)
Estimated Time:45s