A research institute, BioGenetics, currently runs its genomic sequencing workloads on an on-premises datacenter. They experience highly unpredictable computing demands, with massive spikes in resource usage during research phases followed by weeks of idle infrastructure. The institute plans to migrate these workloads to AWS to pay for resources only when they are actively running analyses, and to decommission resources when they are not in use. Which of the following represents the primary economic advantage of this migration strategy?
- It shifts the infrastructure model from capital expenses (CapEx) to operating expenses (OpEx), while leveraging elasticity to align costs directly with actual demand.Answer
- BIt shifts the infrastructure model from operating expenses (OpEx) to capital expenses (CapEx), while relying on static scalability to handle peak workloads.
- CIt eliminates operating expenses (OpEx) by utilizing AWS Organizations to consolidate billing and receive volume discounts on pre-purchased physical hardware.
- DIt reduces capital expenses (CapEx) by using On-Demand instances to secure fixed, long-term pricing for unpredictable workloads.
Answer
The primary economic advantage is shifting from capital expenses (CapEx) to operating expenses (OpEx) while leveraging elasticity to align costs directly with actual demand.
The correct option correctly identifies that the cloud model shifts spending from capital expenses (CapEx) to operating expenses (OpEx). By deploying application workloads in an elastic manner, the institute pays only for what they use, dynamically scaling resources to match the fluctuating sequencing demands.
Step-by-Step Solution
Key Concept
Shifting from CapEx to OpEx and utilizing elasticity to align costs with demand.
Estimated Time:1m 0s