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Thread: Woah! S3 charges!

  1. #1
    Join Date
    Jan 2012
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    26

    Default Woah! S3 charges!

    Everything looks good with ZCB...except when you start crunching numbers with your S3 pricing.

    $0.30 per GB works out very expensive per month. We estimate approximately 2000GB per month, which works out to be a whopping $600 / month, or $7200 per year!

    I took a closer look at regular S3 pricing - $0.12 for storage and FREE bandwidth in. Why on earth are you charging $0.15 per GB for bandwidth in?!!!!!

    Please explain why your pricing is so expensive. Or am I missing something?

  2. #2
    Join Date
    Jun 2011
    Posts
    21

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    Quote Originally Posted by wildcatz View Post
    Everything looks good with ZCB...except when you start crunching numbers with your S3 pricing.

    $0.30 per GB works out very expensive per month. We estimate approximately 2000GB per month, which works out to be a whopping $600 / month, or $7200 per year!
    First, for correctness' sake - it is not $0.30 per GB. Users generally use differential/incremental backups which means only the changed data is uploaded to cloud. So, if you have 2000GB of data in stead state, only a percentage of this will change every month and uploaded to cloud. If even if we assume this change percentage to be 50%, the cost will come to be about $0.225 ($0.15 for storage + $0.15*0.5 for upload).

    Quote Originally Posted by wildcatz View Post

    I took a closer look at regular S3 pricing - $0.12 for storage and FREE bandwidth in. Why on earth are you charging $0.15 per GB for bandwidth in?!!!!!

    Please explain why your pricing is so expensive. Or am I missing something?
    I understand your point. However do consider that Amazon too used to charge for bandwidth in until recently. They stopped doing it as they perhaps figured out how to subsidize S3 to make money from their other cloud services instead. Zmanda has no such way to subsidize ZCB. Perhaps ads?

    Also note that Amazon charges for bandwidth-out while ZCB doesn't. And then ZCB offers a 35 GB free tier to *all* our users, old or new, which obviously escalates costs.

    Having said this, let me assure you that we are constantly re-evaluating our pricing to become more and more cost effective and *might* have interesting announcements in this area soon. So please stay tuned!

    -Nik

  3. #3
    Join Date
    Jan 2012
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    26

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    Quote Originally Posted by nikunj View Post
    First, for correctness' sake - it is not $0.30 per GB. Users generally use differential/incremental backups which means only the changed data is uploaded to cloud. So, if you have 2000GB of data in stead state, only a percentage of this will change every month and uploaded to cloud. If even if we assume this change percentage to be 50%, the cost will come to be about $0.225 ($0.15 for storage + $0.15*0.5 for upload)
    My number of 2000GB is calculated by taking into account the full and incremental backups. So 2000GB is the amount I need to store in S3 per month. And, yes, it is costing me $0.30 per GB to do so with ZCB. Amazon are only charging $0.125 if I were to put it there, and I'm sure you're getting a discount That's a HUGE difference - $600/mo compared to $250. We can't afford that difference.

    Quote Originally Posted by nikunj View Post
    I understand your point. However do consider that Amazon too used to charge for bandwidth in until recently. They stopped doing it as they perhaps figured out how to subsidize S3 to make money from their other cloud services instead. Zmanda has no such way to subsidize ZCB. Perhaps ads?
    I understand Amazon stopped back in July: [url]http://aws.amazon.com/about-aws/whats-new/2011/06/30/aws-announces-new-data-transfer-pricing/[/url]. And they have recently further reduced their prices, as I'm sure you're aware If Amazon stopped 7 months ago, it would be logical for ZCB to stop too! After all, whatever decrease in your costs of storing in S3 should surely be passed onto your customer.

    Quote Originally Posted by nikunj View Post
    Also note that Amazon charges for bandwidth-out while ZCB doesn't. And then ZCB offers a 35 GB free tier to *all* our users, old or new, which obviously escalates costs.
    I think that's 25. And it actually doesn't save us much money at all as it's only 5 in the region we use. And, even if we did use it, let's face it, 25 * $0.30 is only $7.50.

    Quote Originally Posted by nikunj View Post
    Having said this, let me assure you that we are constantly re-evaluating our pricing to become more and more cost effective and *might* have interesting announcements in this area soon. So please stay tuned! -Nik
    I look forward to any new announcement Soon would be good, because, as it is, we consider it unreasonably expensive, and will have to take our business elsewhere.

  4. #4
    Join Date
    Aug 2008
    Posts
    184

    Default

    Thanks for your feedback. Please note that our pricing is based on several dimensions and is not entirely based on underlying Cloud Storage cost. One of us will be in touch with you to address your specific concerns.

  5. #5
    Join Date
    Jan 2012
    Posts
    26

    Default

    Please do contact me.

    Or I can PM you our specific concern.
    Last edited by wildcatz; February 9th, 2012 at 11:19 AM. Reason: dont' want to show just how bad pricing is.

  6. #6
    Join Date
    Jan 2012
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    26

    Default

    No-one has contacted me.

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