Transitioning a disaster recovery solution from a physical, on-premises secondary datacenter to Azure virtual machines that are kept in a deallocated state until a failover drill or outage occurs shifts the associated compute costs from a Capital Expenditure (CapEx) to an Operational Expenditure (OpEx) consumption-based model.
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The statement is true because migrating a physical secondary disaster recovery datacenter to Azure virtual machines that are deallocated until needed shifts the costs from upfront capital expenditures (CapEx) to a consumption-based operational expenditure (OpEx) model.
On-premises datacenters require upfront hardware purchases (CapEx). By using Azure virtual machines that are deallocated until needed, the organization avoids upfront physical hardware costs and only pays for compute resources when they are active, shifting the cost to an operational expense (OpEx) under a consumption-based model.
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Consumption-Based Model (CapEx vs OpEx)