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Re:Is a billion dollars worth of server lying on the ground? by viraptor on Monday November 02, 2020 @07:34AM (#24967432)
He kind of touches on this in point IV, but never mentioned specifically: the cost comparison is not AWS vs ovh. It's fragment-of-EC2 vs ovh.

If you need a predefined small number of VMs and no other functionality, it would be silly to go with AWS. But on the other hand, if you want a set of servers of a given class spawning on demand, with traffic coming in via load balancers, with integrated certificate and DNS management, with programmable lifecycle hooks, with integrated authn/authz, with full audit logs and account management, with configurable private networking to other services, etc. etc. ... You'll pay more than the price difference for someone to implement all of that from scratch.

Compared to this many other points sound like conspiracy theories. Meanwhile people either don't know they can do better, or use AWS because they want more features.

Re:Is a billion dollars worth of server lying on the ground? by drchopchop on Monday November 02, 2020 @09:35AM (#24968510)
AWS gives you all the things you'd need to scale, without heavy up-front costs. There's a natural path from small instances -> bigger instances -> load balancers/ELB -> reserved instances (or spot if it fits your workload). For a smaller company, any savings you'd get from owned servers would be offset by much higher dev ops costs.

Plus, as mentioned, you get a vast menu of services to choose from, all of which are managed. Just in terms of databases alone, you could go with RDS (raw MySql/PG), Aurora, Dynamo, Elasticache/Redis, DocumentDB (Mongo) and more. Plus managed backups, failover, multi-AZ, security, and connectivity built-in.

If your team is filled with devops engineers, then, sure, go with the non-AWS route. But it's a lifesaver for agile companies who can't afford a lot of infrastructure work and need easy levers to scale, and can afford a modest markup.

Re:Is a billion dollars worth of server lying on the ground? by thomaslord on Monday November 02, 2020 @02:56PM (#24972431)
> If your team is filled with devops engineers, then, sure, go with the non-AWS route.

This seems backwards to me - running a simple VPS on something like OVH/DigitalOcean/Linode is a matter of creating the instance, setting the size, and setting up your server software. Super simple, and likely about the same complexity as setting up a dev environment.

Setting the same thing up on AWS requires slogging through the documentation of their many services, deciding what makes the most sense for you (EC2? ECS? EKS? Lambda? Fargate?), and then configuring more options with less-friendly UI than any other provider I've seen. If you can fully wrap your head around all those services, create a stack that makes sense, and maintain it long-term, you're probably well on your way to being qualified for a DevOps engineer job. I can spin up a quick DigitalOcean droplet for a new project in less than half the time it'd take me to set up an EC2 instance, configure the exact amount of storage I need, and pull up 2 additional browser windows to determine the specs and pricing of different instance sizes in different regions.

Re:Is a billion dollars worth of server lying on the ground? by mwcampbell on Monday November 02, 2020 @05:42PM (#24974336)
> running a simple VPS on something like OVH/DigitalOcean/Linode is a matter of creating the instance, setting the size, and setting up your server software. Super simple, and likely about the same complexity as setting up a dev environment.

Until that server goes down.

Re:Is a billion dollars worth of server lying on the ground? by eli on Monday November 02, 2020 @05:51PM (#24974424)
Sure but sometimes that’s ok. Everything goes down sometimes. You need to figure out how much effort you’re willing to expend for each extra “9”.

I wonder what percentage of all sites hosted at AWS are actually ready for a zone to fail.

Re:Is a billion dollars worth of server lying on the ground? by lossolo on Monday November 02, 2020 @07:45PM (#24975161)
# uptime 01:43:36 up 666 days, 11:42, 1 user, load average: 0.00, 0.03, 0.01

From OVH VPS. Funny thing it's 666 today. YMMV

# uptime 01:47:03 up 640 days, 6:53, 2 users, load average: 2.39, 2.62, 2.73

From hetzner dedicated server. YMMV

# uptime 01:48:11 up 482 days, 20 min, 2 users, load average: 1.53, 2.10, 2.78

From leaseweb dedicated server. YMMV

Re:Is a billion dollars worth of server lying on the ground? by deadbunny on Monday November 02, 2020 @08:57PM (#24975607)
Please patch your systems.
Re:Is a billion dollars worth of server lying on the ground? by bartvk on Tuesday November 03, 2020 @01:34AM (#24976976)
Why would you leave a server running that long? Is that best practice? I'm by no means a sysadmin but I do monthly scheduled reboots, because on monthly reboots you test that reboot gets you a running server that correctly comes back, and you get a more thorough fsck.
Re:Is a billion dollars worth of server lying on the ground? by hddherman on Tuesday November 03, 2020 @02:19AM (#24977244)
Also not a sysadmin, but regular reboots are a must-have. Not only does it test that the machine comes back up, but it will also ensure that your kernel and other services are patched. Of course, the services can also be restarted separately after an update, but swapping the running kernel with a new one is still very uncommon.
Re:Is a billion dollars worth of server lying on the ground? by dclusin on Tuesday November 03, 2020 @06:49AM (#24978754)
Digital ocean droplet:

03:48:56 up 238 days, 15:04, 1 user, load average: 0.00, 0.01, 0.05

Re:Is a billion dollars worth of server lying on the ground? by rcxdude on Monday November 02, 2020 @05:47PM (#24974383)
I'd say the risks of a server going down are about the same as an AWS setup going haywire at that level.
Re:Is a billion dollars worth of server lying on the ground? by mr_toad on Monday November 02, 2020 @07:34PM (#24975089)
> Setting the same thing up on AWS

Having run a simple web server + database on both EC2 and Digital Ocean I disagree. The two services are nearly identical at that scale.

In fact I don’t see any significant differences between any of the proper cloud providers at this level. The cost & functionality are very nearly the same.

Re:Is a billion dollars worth of server lying on the ground? by wazoox on Monday November 02, 2020 @12:18PM (#24970508)
Then you remember that for years, Stack Overflow ran out of a couple of well administered servers. YAGNI. KISS. People forget the basics because "infrastructure astronautics" is fun, and it probably helps make a beautiful resume, too.
Re:Is a billion dollars worth of server lying on the ground? by giantrobot on Monday November 02, 2020 @03:24PM (#24972782)
While infrastructure astronauts are typically money wasters and padding their resumes, I don't think SO is the best counter example.

SO's read to write ratio is enormous. While they talk about a handful of different bare metal servers a vast majority of their hits are handled by their caching layer which is not one of their bare metal machines.

Their write loads are not explicitly time sensitive either, if there's a delay between a successful post and cache invalidation it's not a big deal for a majority of their traffic.

Not every model is quite so forgiving. But even then there's a lot of stupid wasteful "infrastructure" made by people who think they're going to be Google, or at least tell their investors they'll be Google.

Re:Is a billion dollars worth of server lying on the ground? by thu2111 on Monday November 02, 2020 @04:53PM (#24973878)
Well, it's an interactive database backed web site. That describes like maybe 90% of the things running on AWS.

StackOverflow is useful because it reminds people that machines are fast, and you probably don't need that many of them to scale to large sizes. StackOverflow is used by the entire global population of developers more or less and it runs off of one large MS SQL Server + some web servers. No auto scaling (not enough hw expense to be worth it), no need for fancy cloud LBs etc.

Sure maybe your service is gonna scale to more than the world's population of developers. Great. But ... a lot of services won't even go that far. For them it's hard to conclude it's really needed.

To pull off a StackOverflow you do need skilled sysadmins though. As the article points out, a surprisingly large number of people who call themselves devops don't really know UNIX sysadmin anymore.

https://stackexchange.com/performance

Re:Is a billion dollars worth of server lying on the ground? by dx034 on Tuesday November 03, 2020 @03:45AM (#24977710)
Autoscaling is overused anyway. It's cheaper and much less complex to have 200-300% of average capacity running 24/7 on dedicated servers (OVH/Hetzner, whatever) than trying to scale up and down according to demand.

Changing capacity automatically always has the potential to backfire. And as AWS & Co need to keep those servers running during times of less demand there's no way it's cheaper unless you have really unusual traffic patterns (even then it's probably not).

Re:Is a billion dollars worth of server lying on the ground? by giantrobot on Monday November 02, 2020 @05:43PM (#24974344)
You're not wrong but it's worth noting SO as a case study for site design has some important caveats. Beefy hardware is great but aggressive caching and setting same expectations around write latency can be a massive scaling win.
Re:Is a billion dollars worth of server lying on the ground? by throwaway894345 on Monday November 02, 2020 @12:50PM (#24970865)
I would guess SO had a relatively small number of employees and their servers were running a pretty straight-forward CRUD app and a database. Comparing that to the heterogeneous workloads that large organizations deal with is a bit silly. No doubt there's still a lot of fat to trim in those large organizations, but trimming that fat is rarely their largest opportunity (much to the chagrin of those of us who like simple, elegant systems).
Re:Is a billion dollars worth of server lying on the ground? by dzonga on Monday November 02, 2020 @02:01PM (#24971728)
my guy, you literally made me laugh. how's this https://stackexchange.com/performance different from any so called workloads large organizations are running. you've your app servers, db servers, load balancers and failover servers. pretty standard setup. yet SO is running on bare-metal. resume driven development and everyone thinking they're google | fb has killed and made money in our industry
Re:Is a billion dollars worth of server lying on the ground? by throwaway894345 on Monday November 02, 2020 @02:16PM (#24971900)
> how's this https://stackexchange.com/performance different from any so called workloads

StackExchange is largely a CRUD app. High volume of tiny requests that hit the app layer, then the database, and back. Other organizations have lower volumes of compute-intensive requests, async tasks, etc.

With respect to the size of an organization, the cost of coordinating deployments and maintenance over a handful of servers grows with the size of the organization. It frequently behooves larger organizations to allow dev teams to operate their own services.

None of this is to say that there isn't waste or poor decisions throughout our industry; only that it's not the sole factor and SO's isn't the ideal architecture for all applications.

> my guy

I'm not your guy.

Re:Is a billion dollars worth of server lying on the ground? by ksec on Monday November 02, 2020 @01:07PM (#24971055)
It is the World top 50 site by Alexa.

Comparatively speaking even compare them to the same CRUD app and DB, most are using 5 to 10x more servers with 1/2 to 1/5 of the traffic.

Re:Is a billion dollars worth of server lying on the ground? by notyourwork on Monday November 02, 2020 @01:41PM (#24971480)
It is a large site by traffic measure but I would guess the traffic is heavily read only. Managing workloads with more data mutation introduces different complexities which mean you can't just cache everything and accept the TTL for writes based on cache invalidation.

edit: To be clear, not saying SO isn't an achievement, but its one type of use case that yields a really simple tech stack.

Re:Is a billion dollars worth of server lying on the ground? by thu2111 on Monday November 02, 2020 @04:59PM (#24973940)
Their stats are here:

https://stackexchange.com/performance

Their DB handles peak of 11,000 qps and peaks at only 15% CPU usage. That's after caching. There are also some ElasticSearch servers. Sure, their traffic is heavily read only, but it's also a site that exists purely for user-generated content. They could probably handle far higher write loads than they do, and they handle a lot of traffic as-is.

What specific complexities would be introduced by an even higher write load that AWS specifically would help them address?

Re:Is a billion dollars worth of server lying on the ground? by throwaway894345 on Monday November 02, 2020 @01:31PM (#24971378)
> Comparatively speaking even compare them to the same CRUD app and DB, most are using 5 to 10x more servers with 1/2 to 1/5 of the traffic.

No doubt, but how large are those other CRUD app organizations? Do they have a staff that is 20x the size all trying to coordinate deployments on the same handful of servers? What are their opportunity costs? Is trimming down server expenses really their most valuable opportunity? No doubt that SO has a great Ops capability, but it's not the only variable at play.

Re:Is a billion dollars worth of server lying on the ground? by jldugger on Monday November 02, 2020 @02:54PM (#24972409)
And you can probably cache all the data you need for the next 24h in a few terrabytes of RAM, _if_ you knew what that data was.
Re:Is a billion dollars worth of server lying on the ground? by wazoox on Monday November 02, 2020 @01:08PM (#24971063)
I was thinking more of the ordinary startup than of large organizations.
Re:Is a billion dollars worth of server lying on the ground? by monoideism on Monday November 02, 2020 @01:42PM (#24971494)
SO also ran on .net, which is a far cry from the typical startup server load running on Python, Ruby, or PHP.
Re:Is a billion dollars worth of server lying on the ground? by tester756 on Monday November 02, 2020 @08:56PM (#24975595)
What do you mean?
Re:Is a billion dollars worth of server lying on the ground? by dx034 on Tuesday November 03, 2020 @03:54AM (#24977763)
I guess that without a lot of optimizations, .NET will be much more performant. The lower the performance, the more servers you need and that will make it harder to manage your fleet.
Re:Is a billion dollars worth of server lying on the ground? by monoideism on Wednesday November 04, 2020 @05:50PM (#24993885)
Yes.
Re:Is a billion dollars worth of server lying on the ground? by mrh0057 on Monday November 02, 2020 @05:11PM (#24974077)
Another issue is people don't understand how powerful modern hardware is. You have modern systems that process less transaction per a second ones from the 1970s.

Just look at the modern SPA. They are slower than ones 10 years ago, and the JavaScript VM is much faster plus all the hardware gains. Why does it make Twitter and Gmail a few seconds to load?

Re:Is a billion dollars worth of server lying on the ground? by AtlasBarfed on Monday November 02, 2020 @10:42PM (#24976085)
I don't doubt certain mainframe apps of the (late) 1970s could beat the TPS of a generically frameworked app in certain situations, but do you have any real numbers/situations/case studies to back that up?
Re:Is a billion dollars worth of server lying on the ground? by mrh0057 on Sunday November 08, 2020 @03:58AM (#25024252)
Can't remember the name of the system that did 4k but found a paper about bank of America processing 1k a second.
Re:Is a billion dollars worth of server lying on the ground? by bluedino on Monday November 02, 2020 @07:16PM (#24974977)
When you look at something like how Stack Exchange moved physical servers to a new datacenter, you can see where AWS benefits you.

Not all startups have the server and networking know-how to pull that kind of stuff off, or even set it up in the first place.

https://blog.serverfault.com/2015/03/05/how-we-upgrade-a-liv...

Re:Is a billion dollars worth of server lying on the ground? by throwaway2048 on Monday November 02, 2020 @07:27PM (#24975043)
Its not like AWS services themselves require zero knowledge in their use (especially if you dont wanna be billed massive amounts)
Re:Is a billion dollars worth of server lying on the ground? by dx034 on Tuesday November 03, 2020 @03:56AM (#24977778)
That's the nice thing about Hetzner, OVH and Co. You don't need Colocation but can instead rent servers monthly. That way you never have to bother with physical hardware, the knowledge needed is purely on the software side.

I also think colocation or own datacenters are a poor fit for most. But dedicated servers are underrated. They can be offered much cheaper as it's simply renting standard hardware and you don't need any of the expertise or size you'd need for colocation.

Re:Is a billion dollars worth of server lying on the ground? by m4rtink on Monday November 02, 2020 @07:35PM (#24975093)
Fedora just did it for all the infrastructure servers this summer:

https://hackmd.io/@fedorainfra2020/Sybp76XvL

Re:Is a billion dollars worth of server lying on the ground? by hw on Monday November 02, 2020 @10:55AM (#24969452)
> AWS gives you all the things you'd need to scale, without heavy up-front costs

A startup doesn't need AWS right off the bat. Planning for scale right from the beginning is a way to quickly bleed $. Of course, if you have VC money, why not spend that cash right?

Where I work we've started non-AWS and have continued non-AWS. We don't have a team of devops engineers, but rather a team where there are a engineers who _can_ do devops. I dread the day we need to move to AWS, but it's much easier moving to AWS than off it.

Re:Is a billion dollars worth of server lying on the ground? by renewiltord on Monday November 02, 2020 @10:58AM (#24969491)
Yeah but that's what capex based stuff (like buying and colocating) is: planning for scale. With AWS you think you need a robust DB and shit and you've made a decision that can be undone in minutes.

You think you want Elasticache? It's a fifteen minute operation. In that time your devops guy isn't going to have even downloaded the binary and figured out the docs.

Re:Is a billion dollars worth of server lying on the ground? by dx034 on Tuesday November 03, 2020 @03:59AM (#24977793)
As I wrote further up, there's not just colocation and AWS. Dedicated servers are a great fit for many start ups and need no capex. You just rent hardware monthly like you lease most of your office equipment. Much cheaper than AWS, no hardware expertise needed and even (manual) scaling over time works quite well, it's easy to add servers within a day or so.

Sure, you'll always have idle capacity, but this way you could use it. With AWS, Amazon runs that idle capacity and charges you for it.

Re:Is a billion dollars worth of server lying on the ground? by HelloNurse on Tuesday November 03, 2020 @02:55AM (#24977426)
> With AWS you think you need a robust DB and shit and you've made a decision that can be undone in minutes.

If it can be undone in minutes, it isn't much of a decision. A service that can be enabled or canceled on a whim is unnecessary.

Realistically, analyzing the guarantees offered by a cloud platform, your corresponding requirements, and how everything is supposed to work is going to take days, and actually developing and testing disaster recovery procedures is going to take even longer.

Re:Is a billion dollars worth of server lying on the ground? by drchopchop on Monday November 02, 2020 @11:42AM (#24970009)
You don't necessarily need to plan from scale from the start. Often you just need a few servers, a load balancer, a database, some file storage, internal networking, user permissions, and some level of security/firewall. That is very easy to set up on AWS in a day or two, and you don't need all your engineers to simultaneously be devops experts.

The scale can happen once you've validated your startup, and when that happens it's a lot easier to just turn on 30 more EC2 instances than to get on the phone with Dell.

Re:Is a billion dollars worth of server lying on the ground? by thu2111 on Monday November 02, 2020 @05:10PM (#24974072)
You probably don't get on the phone with Dell. There's a large area in between EC2 and racking your own boxes in your own datacenter. You can buy dedicated machines from OVH or similar firms with lead time of a few days, and it's a very rare firm that can't predict their load a week in advance .. even for a fast growing company.

Look at it like this; GitHub mostly ran in their own datacenter using AWS only for spillover capacity. They scaled just fine. Virtually no apps have the problem of runaway growth that they can't handle without instantly provisioned resources.

Re:Is a billion dollars worth of server lying on the ground? by hw on Monday November 02, 2020 @06:09PM (#24974560)
There are some merits to AWS, I can agree with that, and there comes a point where a startup outgrows baremetal / cookie cutter VPS-es, but I disagree with "AWS is trivial" and that it takes a day or two to get things set up. For basic set up like getting a few servers done behind a load balancer and a database - sure - and I'd argue that services like DigitalOcean and Linode are actually easier to set up than AWS for basic services.

To actually do more advanced stuff (the thing that AWS is good for) and utilize tools such as Terraform, you'd essentially need to hire engineers that are experts in AWS in addition to engineers who can do devops, as there's only so much "magic" AWS can provide.

Re:Is a billion dollars worth of server lying on the ground? by Agathos on Monday November 02, 2020 @01:46PM (#24971545)
> A startup doesn't need AWS right off the bat. Planning for scale right from the beginning is a way to quickly bleed $. Of course, if you have VC money, why not spend that cash right?

Especially when the alternative is to hear a lot of, "What? You don't expect to scale? I thought you took this seriously."

Re:Is a billion dollars worth of server lying on the ground? by dx034 on Tuesday November 03, 2020 @04:01AM (#24977803)
OVH and Hetzner could probably provide you with at least 100 top of the line servers within 24h (just guessed that, it's probably more). With a reasonable setup, that's much more than any start up will need to scale.
Re:Is a billion dollars worth of server lying on the ground? by tw04 on Monday November 02, 2020 @10:11AM (#24968899)
>can afford a modest markup.

I'm with you until that statement. AWS is nothing approaching "modest" in their markup. 20% minimum and typically much higher if you know how to negotiate when purchasing your on-prem gear. And if you happen to be a shop that sweats assets for 7+ years that number starts being measured in the hundreds of percentage points more expensive.

Re:Is a billion dollars worth of server lying on the ground? by GordonS on Monday November 02, 2020 @02:40PM (#24972199)
And on bandwidth their markup tends towards infinity - same on Azure and GCP.

As a example, 20TB of egress bandwidth will cost you around $1,750 on Azure, almost $90/TB! Your typical server/VPS provider gives you that kind of bandwidth allowance for free, because it costs them close to nothing.

I have a feeling almost all complaints about cloud costs would disappear forever if they'd only stop gouging customers on bandwidth.

The likes of Hetzner and OVH are starting to offer more cloudy features, like load balancers and block storage. My hope is that eventually they become viable alternatives to the big 3, and they are finally forced to reduce their ludicrous bandwidth prices.

Re:Is a billion dollars worth of server lying on the ground? by hyperdimension on Monday November 02, 2020 @07:10PM (#24974942)
The term 'roach motel' comes to mind when I see their network traffic rates.

"Come on in; there's no commitment. Pay as you go, and did I mention our ingress rates are free! Bring us your data and give the cloud a try. It's the future, you know..."

"Oh you're leaving and want your data back now?"

Re:Is a billion dollars worth of server lying on the ground? by nemothekid on Monday November 02, 2020 @10:44AM (#24969312)
>20% minimum and typically much higher if you know how to negotiate when purchasing your on-prem gear.

A 20% premium on a $10k/mo server bill is an incredibly small premium to pay versus a single FTE.

Re:Is a billion dollars worth of server lying on the ground? by tw04 on Monday November 02, 2020 @11:01AM (#24969516)
I have yet to move a single customer to Amazon that fired the FTE who was managing on-prem infrastructure and chalked it up to a cost-savings move. . The idea of cutting headcount is a fallacy. In small shops the guy that was managing on-prem infrastructure is now doing that (because it turns out you still need switches and phones and routers and firewalls even if you host things in AWS) as well as managing the AWS infrastructure. In large shops you're typically replacing "cheap" headcount (the guy who racked servers) with someone significantly more expensive (a team of cloud architects).
Re:Is a billion dollars worth of server lying on the ground? by x0x0 on Monday November 02, 2020 @11:46AM (#24970060)
We're a small company who avoided the hire. And we don't bother with a firewall at our office -- the only things on the office network are laptops, phones, printers, and sonos.

Basically, if you model senior eng time as $5k/week -- not even counting the opportunity cost -- you'll understand why AWS.

While I definitely think AWS is very expensive for the servers, they are not overall expensive. Again, setting up CloudWatch in an afternoon or dumping tons of heterogenous logs into S3 and querying them with Athena or spinning up full environment stacks (front end pool, back end pool, load balancers, databases, vpcs, vpns, etc) is an enormous cost savings vs finding, installing, configuring, and maintaining batches of software to do the same.

edit: pay an eng $180k. Fully loaded, you're looking at $220k plus. Add in either recruiting time or a recruiting fee that probably runs us $2k/mo amortized over the first year on the low end. Add in the fact that the first 6 weeks weren't super productive, and also absorbed tons of time from other SE to get this person up to speed. Add in PM time bringing this person up to speed on our product.

Yup, $5k/week.

Re:Is a billion dollars worth of server lying on the ground? by vidarh on Monday November 02, 2020 @02:09PM (#24971821)
Or, you know, you could have brought in a consultant part time. If you're small enough that you can handle an AWS setup without someone full time, you could run on a managed hosting setup for less including an external consultant charging ridiculous hourly rates.

Clients on AWS were always my best ones, because they were used to paying so much over the odds I could set my rates much higher.

Re:Is a billion dollars worth of server lying on the ground? by AtlasBarfed on Monday November 02, 2020 @10:49PM (#24976119)
Yeah, I wanted an extra person on our desperately understaffed team, so I proposed I cut about a million bucks of spending year-on-year from AWS.

They didn't want to increase the head count. The AWS spend was a different silo/team/contract.

Corporate accounting is insane.

It almost smelled like "well, we negotiated this great AWS discount, so it doesn't bother us that we are spending an extra million. We're getting it at a DISCOUNT!"

Is there some MBA trend where every headcount is some ticking time bomb of liability that is 10x worse than their yearly salary?

You spend 150k on servers, they don't improve over a year.

You spend 150k on a decent employee, not even rockstar ninja 100xer, and they will deliver useful, although sometimes hidden, productivity and optimization.

Re:Is a billion dollars worth of server lying on the ground? by vishnugupta on Monday November 02, 2020 @01:36PM (#24971428)
On top of that add the opportunity cost of spending all that time managing/setting on prem infrastructure Vs solving business problems....there’s a good reason AWS and the likes have millions of customers today.
Re:Is a billion dollars worth of server lying on the ground? by throwaway894345 on Monday November 02, 2020 @12:56PM (#24970924)
It's such a meme on this site to compare costs of AWS to hardware costs as though the hardware operates itself. I'm sure there are many cases in which onprem actually is a better value proposition than AWS, and I would find it much more interesting if we talked about when to go with AWS vs onprem, but instead we try to make these silly comparisons about the upfront cost of a server blade vs an EC2 instance.
Re:Is a billion dollars worth of server lying on the ground? by vidarh on Monday November 02, 2020 @02:02PM (#24971740)
I've done operations stuff for ~25 years now. I've used AWS since it launched. I've done devops consulting for years.

I've yet to see an AWS deployment be competitive on cost with onprem or managed hosting. In fact, I used to make good money helping people cut costs by moving off AWS.

That includes paying more for devops, because AWS is incredibly complicated, and most people struggle to get it set up well.

There are valid reasons to pick AWS. Cost is not one of them.

Re:Is a billion dollars worth of server lying on the ground? by throwaway894345 on Monday November 02, 2020 @02:21PM (#24971954)
Cool, this is the stuff that interests me. Comparing the nominal cost of hardware with the nominal AWS costs is boring.
Re:Is a billion dollars worth of server lying on the ground? by thu2111 on Monday November 02, 2020 @05:15PM (#24974118)
Why? If the primary benefit you're getting from the cloud is VMs, it's valid to compare to hardware. The overhead of bare metal on top of cloud VMs is basically knowing how to handle RAID and set up load balancing.
Re:Is a billion dollars worth of server lying on the ground? by throwaway894345 on Monday November 02, 2020 @05:50PM (#24974408)
VMs are certainly not the primary benefit of the cloud; cloud providers offer many services in addition to VM orchestration, but that hardly matters because your own example is illustrative of your error:

> The overhead of bare metal on top of cloud VMs is basically knowing how to handle RAID and set up load balancing.

This implies human beings to handle raid and set up load balancing, which suggests that you need to compare the cost of cloud providers with the cost of hardware and the cost of those engineering resources.

In addition to RAID and load balancing, most organizations/applications also need networking (good luck balancing load without a network), databases (including backup management), TLS, DNS, access management, etc, etc. All of this takes humans to build and operate. AWS services do a lot of this for you. In the on-prem world, you have to build (or buy/integrate) this yourself, but that's not free so you have to account for that cost in your comparison.

You can still make the argument that on-prem is a better value proposition when accounting for the total cost of ownership, but that's a different argument than those which ignore engineering costs altogether.

Re:Is a billion dollars worth of server lying on the ground? by thu2111 on Tuesday November 03, 2020 @05:11AM (#24978172)
Yes, you need to know how to use Linux. And as the article astutely points out, there is an undiscussed problem with UNIX skills loss across the industry. AWS provides GUIs and Linux doesn't - accepted.

However for the many, many people who do already have those skills, and for the many pieces of software that are basically web servers + databases, the overhead of bare metal vs cloud VMs or services is basically a bit of Linux sysadmin work. People are acting like you have to hire a full time wizard to even consider using anything other than high cost AWS services but that is wrong: AWS requires learning too, people who understand UNIX are plentiful even if apparently not as plentiful as they once were, and a well run setup will not require constant sysadmin work. A well rounded developer will often be able to do the ops work as well.

Also "bare metal" doesn't mean running your own datacenter. You can buy hardware, send it to a colo and they'll rack it and run the network for you. That's why I say it's mostly a matter of understanding RAID: when the hardware fails (almost always disk or less commonly, RAM units), you file a ticket, blink the HDD LED and some remote hands go and swap out the part for you. Those "hands as a service" come cheap compared to AWS.

Re:Is a billion dollars worth of server lying on the ground? by vidarh on Saturday November 07, 2020 @09:45AM (#25015334)
A large part of the problem is that most developers have no experience with this, and think server hardware is as much a pain as home PC hardware, which a large portion of younger developers have little experience with too.

They've not seen servers with IPMI tied into PXE boot and a TFTP setup. They don't realise once that server is racked up, we can log in to an IPMI console, power it on remotely, have it boot straight into a bootstrap script, remotely install an OS like CoreOS/Flatcar without manual intervention, have orchestration scripts install the necessary basic services on it without manual intervention, and boom, it's part of your own "private cloud" ready to deploy containers to that may well not require maintenance "below" the container layer for years.

And they don't realise you can contract someone to do this for you for low enough day rates that it'll take you a truly massive setup before you're paying the equivalent of a full time engineer.

Re:Is a billion dollars worth of server lying on the ground? by thu2111 on Monday November 09, 2020 @04:42AM (#25033077)
100% agreed. I venture that it's a side effect of our industry relying almost entirely on universities and self-learning to propagate knowledge, instead of trade schools. Academics don't want to teach "messy" real world skills like how to actually build a distributed computer with your own hands: there's a very narrow range of skills considered acceptable to teach in the academic world and sysadmin isn't one of them.

Meanwhile we've had 20 years of media and culture telling people that those who get rich are the software guys, never the infrastructure guys, and that the easiest way to get into the industry is by learning web design.

Also, I suspect the industry is exhausting the pool of talent that learned computing on UNIX workstations at university in the 80s and early-mid 90s. The people who lived and breathed servers and UNIX are retiring out of the workforce, and not really being replaced. AWS is stepping in the fill the breach by selling sysadmins-as-a-service, basically, with a thin veneer of GUI programming slapped on top, and some proper documentation writers. Selling pickaxes and shovels to the gold miners - classic.

Finally, I think a lot of firms have developed a "no contractors" policy. I've never worked at a company that allowed contractors and I'm about mid-way through my own career, a bit less. At some point it has become received CEO wisdom that they're building a committed team of true believers, so "mercenaries" aren't welcome. It leads to the kind of thinking you see in this thread where "I don't have the skills, therefore I must hire someone full time, and they must earn as much as me, therefore it's too expensive" ends up leading to "and therefore I must outsource to a firm that 'contracts' for an hourly rate billed via credit card".

Re:Is a billion dollars worth of server lying on the ground? by souprock on Monday November 16, 2020 @12:47PM (#25114664)
The contractor has a problem similar to employee turnover. Contractors make sense when there is a throw-away project (won't need long-term maintenance) that doesn't embody any proprietary knowledge or skill. As soon as a project could expose a trade secret or require on-going support, the contractor becomes a big risk.
Re:Is a billion dollars worth of server lying on the ground? by freeone3000 on Monday November 02, 2020 @01:50PM (#24971594)
If you don't have an FTE in charge of servers, who's managing AWS? If you leave it up to the individual developers you end up with an overcosted mess.
Re:Is a billion dollars worth of server lying on the ground? by nixgeek on Monday November 02, 2020 @10:25AM (#24969057)
But again, is that comparable? Seems like apples versus oranges.

What’s the connectivity into your 7+ year old asset cost? What about the space, power and cooling to provide it a home?

What happens when your environment gets attacked by a volumetric DDOS, is that 100Mbps circuit going to get overwhelmed?

I’m not arguing AWS is cheaper, simply that there are lots of things around the physical server which also have costs and complexities.

Re:Is a billion dollars worth of server lying on the ground? by tw04 on Monday November 02, 2020 @10:31AM (#24969138)
>What’s the connectivity into your 7+ year old asset cost? What about the space, power and cooling to provide it a home?

10Gbe ethernet was standard in 2013/2014. Space power and cooling is company dependent. If they're tiny, a closet in the building or a colocation facility, if they're larger, a room. If they're huge, a datacenter.

>What happens when your environment gets attacked by a volumetric DDOS, is that 100Mbps circuit going to get overwhelmed?

I can't recall the last time a customer got hit by a "volumetric DDoS". End-user facing systems sit behind cloudflare. Internal apps are... internal. Who cares if the WAN connection is getting hit by DDoS when your users are on campus? In post-covid world, they've got multiple tunnels with SD-WAN.

That's ignoring that fact that Centurylink or Comcast or Telia are pretty good at mitigating DDoS in 2020. Just because they don't post about the attacks they endure on a blog doesn't mean they're inept.

https://business.comcast.com/help-and-support/ethernet/comca...

https://assets.centurylink.com/is/content/centurylink/centur...

>I’m not arguing AWS is cheaper, simply that there are lots of things around the physical server which also have costs and complexities.

Sure, and they're all complexities which we solved 30+ years ago.

Re:Is a billion dollars worth of server lying on the ground? by throwaway894345 on Monday November 02, 2020 @12:59PM (#24970951)
> Sure, and they're all complexities which we solved 30+ years ago.

The argument isn't that they are solved or not, but the cost of implementing and maintaining them vs AWS.

Re:Is a billion dollars worth of server lying on the ground? by kikimora on Wednesday November 04, 2020 @05:13PM (#24993584)
I never say a whop running on AWS and not having a person managing it. Said person always has enough skill to replicate same setup on a dedicated hardware/VPS. I don't say such shops does not exists, it just I never saw them.

To me AWS killer features are RDS and ability to provision 100 servers in a few minutes. Most of the time scaling is not needed and RDS alone cannot justify the cost of AWS.

Re:Is a billion dollars worth of server lying on the ground? by drchopchop on Monday November 02, 2020 @10:42AM (#24969282)
For a lot of companies, 20% is an acceptable markup to pay, in return for not having to deal with hardware failures, delays due to ordering new hardware, not always having instant failovers, over-purchasing for capacity/scale, the extra human dev ops costs, etc. If you're well-positioned to handle that, then great, AWS may not be cost-effective for you.
Re:Is a billion dollars worth of server lying on the ground? by whatshisface on Monday November 02, 2020 @10:21AM (#24969005)
>And if you happen to be a shop that sweats assets for 7+ years that number starts being measured in the hundreds of percentage points more expensive.

If you include the growth in electric efficiency over time, it can be bad to run old servers after a certain point.

Re:Is a billion dollars worth of server lying on the ground? by suifbwish on Tuesday November 03, 2020 @08:54PM (#24985988)
As someone who has built out over 30 different accounts in AWS for various clients, this is definitely not entirely accurate. Elasticache is a caching mechanism not a database. Anyone who thinks they are the same has not used them extensively. Also RDS and Aurora both have had their super privileges removed so you might have to possibly overhaul some of your code base just to make it work. I’m sensing some uninformed fan base propaganda here
Re:Is a billion dollars worth of server lying on the ground? by KingOfCoders on Monday November 02, 2020 @07:45AM (#24967545)
Many people use AWS because everyone uses AWS. Many of my clients have no need for AWS but still use it, at least until the VC money runs out. Usually then I have to go first, then servers are moving to somewhere cheaper when a new CFO comes in.
Re:Is a billion dollars worth of server lying on the ground? by ehnto on Monday November 02, 2020 @08:33AM (#24967940)
I work in an ecommerce agency environment and it can be quite frustrating. Every client, no matter how small, has been sold the spiel and had some guy come through and build a boutique cloud infrastructure, CI pipeline and development VM. As if traffic will increase 1000% by next week with no prior warning. It just doesn't happen like that.

I spend half my time debugging Hyperscale Bullshit™ that the client never needed and that failed the moment the devops guy left.

If you want this stuff, you need a long term tech team, and a devops member on hand. Every time you hand your project around this stuff costs you hours. You also need to tell your devs to use the devops guy like tech support. They built this rickety tower of obtuse config files, make the devops guy fix it and don't let your devs spin their wheels for 4 hours before their assets compile on the Super Cool Distributed Docker VM microservice stack of teetering jenga blocks.

Re:Is a billion dollars worth of server lying on the ground? by devonkim on Monday November 02, 2020 @12:17PM (#24970500)
As an ops and infrastructure engineer I cringe every time people talk about trying to automate all these processes early in the life of an organization or if there’s zero way for the company to have explosive growth. Not every company is going to need to rapidly scale up and down and I rarely see cloud saving money unless one’s infrastructure is pretty garbage already. Cloud lift and shifts are like bad rewrites inheriting all the architectural problems and increasing opex for the sake of a “cloud” stamp aka cloud washing.

But I do recommend companies have a means of deploying stuff to AWS and doing basic security there for clients that really require AWS. Having a VPC ready to go costs nothing operational and is good for at least having some semblance of collective skill with a major public cloud provider.

Invariably though when I see undisciplined developers take on colo style hosting systems become brittle and unable to accept changes and with any success it becomes a Herculean task to deploy new features without putting something important at risk. This results in more time spent on systems archaeology for new engineers eventually than creating new features or improving maintainability.

In 2020 I’d recommend developing as much as possible on PaaS type platforms like Heroku, a managed K8S, or even App Engine to avoid more bike shedding that really doesn’t buy a company anything materially advantageous early on like deciding which kind of EC2 instance to standardize on. Until engineers know what to optimize and concentrate upon in terms of process and there’s perhaps tens of thousands in monthly infrastructure costs most skilled (read: expensive) ops engineers won’t really be of much value except offloading work that developers shouldn’t have been thinking about in the first place.

Re:Is a billion dollars worth of server lying on the ground? by michaelbuckbee on Monday November 02, 2020 @08:45AM (#24968039)
I did work for a YC startup that replaced my ~$100/mo Heroku app with a $5,000/mo AWS stack that nobody in the place knew how to manage.

Their site was so ridiculously low traffic that I did some napkin math and figured out they were paying around $0.10 per web request.

Re:Is a billion dollars worth of server lying on the ground? by fourseventy on Monday November 02, 2020 @01:39PM (#24971453)
I've seen this exact same thing happen to a company I used to work for. They had an enterprise B2B app that had extremely low traffic. The Heroku app worked fine but the CTO spent a year building a super complicated AWS stack as an exercise in resume building. After the AWS stack launch filed miserably and we had to switch back to Heroku the CTO quit and still has "migrated company to infrastructure as code AWS stack" on their Linkedin profile.
Re:Is a billion dollars worth of server lying on the ground? by jrochkind1 on Monday November 02, 2020 @08:50AM (#24968091)
Huh, making a manual AWS stack 50 times more expensive than a heroku setup seems like a real trick to me! I'm used to heroku being more expensive than running it yourself -- as I would expect, since you're paying them for a lot of management.
Re:Is a billion dollars worth of server lying on the ground? by user5994461 on Monday November 02, 2020 @10:15AM (#24968937)
Heroku is both incredibly cheap and incredibly expensive.

It's only $7/month to deploy a web application. More if you want some of the paid features and a database instance. It all works out of the box with instant deployment out of the box, it's fantastic.

Then it suddenly goes $50 more per gigabyte of RAM, which makes it massively expensive for any serious workload. It's crazy hot much they can try to charge, makes AWS looks like a bunch of clowns in comparison.

Re:Is a billion dollars worth of server lying on the ground? by jrochkind1 on Monday November 02, 2020 @01:24PM (#24971278)
If it saves you a FTE or two from managing your own infrastructure, there is a lot of headroom before it's a losing proposition.

Which is what I think the OP misses discussing in as much detail as they could with AWS -- are there ways AWS is saving some customers developer/ops staff time over the cheaper alternatives? Cause that is often more expensive than the resources themselves. Could just be "because that's what we're familiar with" (and that's not illegitimate as cost savings), but could be actually better dashboard UIs, APIs, integrations, whatever.

[I am currently investigating heroku for our low-traffic tiny-team app, after we had our sysadmin/devops position eliminated. The performance characteristics are surprising me negatively (I can't figure out how anyone gets by with a `standard` instead of `performance` dyno, even for a small low-traffic app; currently writing up my findings for public consumption), but the value of the management they are doing so we don't have to is meeting and exceeding my expectations. (We currently manage our own AWS resources directly, so I know what it is we can't do sustainably anymore with the eliminated position, and the value we're getting from not having to do it).]

Re:Is a billion dollars worth of server lying on the ground? by vidarh on Monday November 02, 2020 @02:29PM (#24972041)
My experience - from doing devops consulting and moving clients off AWS every chance I get - is that it's bad business for devops consultants to move clients off AWS in terms of short term billable hours, because clients spent more money on me when they're on AWS. If I was after maximising billable hours in the short term, then I'd recommend AWS all the time...

As such a lot of devops consultants certainly have all the wrong incentives to recommend it, and these days most of them also lack experience of how to price out alternatives.

E.g. a typical beginners mistake is to think you'd price out a one-to-one match of servers between AWS and an alternative, but one of the benefits of picking other options is that you're able to look at your app and design a setup that fits your needs better. Network latency matters. Ability to add enough RAM to fit your database working set in RAM if at all possible matters. And so on. With AWS this is often possible but often at the cost of scaling out other things too that you don't need.

And most developers won't do it if you don't give them budget responsibility and make them justify the cost and then cut their budget.

Development teams used to AWS tends to spin up instance after instance instead of actually measuring and figuring out why they're running into limits to keep costs down. Giving dev teams control over infra without having someone with extensive operations experience is an absolute disaster if you want to manage costs.

I work for a VC now. When I evaluate the tech teams of people who apply to us, it's perfectly fine if they use AWS, but it's a massive red flag to me if they don't understand the costs and the costs of alternatives. Usually the ones who do know they're paying for speed and convenience, and have thoughts on how to cut costs by moving parts or all of their services off AWS as they scale, or they have a rationale for why their hosting is never going to be a big part of their overall cost base.

The only case where AWS is cost effective is if you get big enough to negotiate really hefty discounts. It's possible - I've heard examples.

But if you're paying AWS list prices, chances are sooner or later you'll come across a competitor that isn't.

Re:Is a billion dollars worth of server lying on the ground? by jrochkind1 on Monday November 02, 2020 @05:13PM (#24974099)
When you're talking about clients spending more on you as a consultant when they are on AWS... compared to what? Alternatives like GCS? Or actual on-premises hardware? Or what? When you "move clients off AWS every chance you get", you are moving them to what instead?

I'm having trouble following your theory of why having clients stay on AWS ends up leading to more consultant billable hours, I think because I don't understand what alternatives you are comparing it to. I am pretty sure it is not heroku, as in the earlier part of the thread?

Or are you talking about compared to simpler "vps" hosts like, say, linode? Doesn't that require a lot more ops skillset and time to set up and run compared to aws, or you don't think it does?

Re:Is a billion dollars worth of server lying on the ground? by vidarh on Saturday November 07, 2020 @09:38AM (#25015290)
Compared on on premises, colo or managed hosting.

When moving them off AWS it'd usually be to managed hosting on monthly contracts.

Heroku turns expensive real fast. You're paying for AWS + their margins on top of AWS.

Managed hosting ranges from API-based provisioning not much different than AWS to ordering server by server.

In practice the amount of devops time spent dealing with the server itself for me at least is generally at most matter of downloading a bootstrap script that will provision CoreOS/Flatcar and tie it into a VPN and record the details. The rest of the job can be done by simple orchestration elsewhere. I have servers I haven't needed to touch in 5 years other than recently to switch from CoreOS to Flatcar (other than that the OS auto-updates, and everything runs in containers). Once you've done that, it's irrelevant what the server is or where it is.

For modern server hardware, if you run your own colo setup, that's a matter of having PXE and tftp set up once in a colo, and you can then use an IPMI connection to do the OS installation and config remotely, so even with colocated servers, I'd typically visit the data center once or twice a year to manage several racks of servers. The occasional dead disk would be swapped by data centre staff. Everything else would typically be handled via IPMI.

E.g. one of my setups involved 1k containers across New Zealand, Germany and several colo facilities in the UK. Hetzner (Germany) was the first managed hosting provider we found that could compete on total cost ownership with leasing servers and putting them in racks in the UK. Had we been located in Germany (cheaper colo facilities than near London), they'd not been able to compete, but putting stuff in a colo facility somewhere we didn't have people nearby would be too much of a hassle and the cost difference was relatively minor.

Small parts of the bootstrap scripts we had were the only thing different between deploying into KVM VMs (New Zealand), managed servers not in the same racks (Hetzner), and colocated bare metal booting via PXE on their own physical networks (UK). Once they were tied into the VPN and the container runtime and firewall was in place, our orchestration scripts (couple of weeks of work, long before Kubernetes etc. was a thing - we were originally deploying openvz containers and so the same tool could deploy to openvz, KVM and docker over the years) would deploy VMs/containers to them, run backups and failover setups, and dynamically tie them into our frontend load balancers.

We did toy with the idea of tieing in AWS instances to that setup too, but over many years of regularly reviewing the cost we could never get AWS cheap enough to justify it. We kept trying because there was a constant stream of people in the business who believed - with no data - that it'd be cheaper, but the closest we got to with experiments with AWS was ca twice the cost.

For the record, in my current job we do use AWS entirely. I could cut the cost of what we're using it for by ~80%-90% by moving it to Hetzner. But the cost is low enough that it's not worth investing the time in doing the move at this point, and it's not likely to grow much (it's used mostly for internal services for a small team). That's the kind of scenario where AWS is great - offloading developer time on setups that are cheap to run even at AWS markups.

I tend to recommend to people that it's fine to start with AWS to deploy fast and let their dev team cobble something together. But they need to keep an eye on the bill, and have some sort of plan for how to manage the costs as their system gets more complex. That means also thinking long and hard before adding complicated dependencies on AWS. E.g. try to hide AWS dependencies behind APIs they can replace.

Re:Is a billion dollars worth of server lying on the ground? by ksec on Monday November 02, 2020 @01:11PM (#24971103)
Well Heroku is running on top of AWS. So you are basically paying an extra premium on top of the premium from AWS.

Although whether it is worth it depends on your view.

( I keep thinking SalesForces is just not a good fit for Heroku, they should have sold it to MS or Google )

Re:Is a billion dollars worth of server lying on the ground? by KingOfCoders on Monday November 02, 2020 @09:24AM (#24968370)
Many (startup) SaaS companies (except metrics collectors e.g) have very low traffic from logged in users.

When I moved from an ecommerce company with 1000 logins/sec to a SaaS company I could not believe the low traffic :-)

Re:Is a billion dollars worth of server lying on the ground? by NikolaeVarius on Monday November 02, 2020 @11:41AM (#24969999)
Thats just incompetence.
Re:Is a billion dollars worth of server lying on the ground? by hbogert on Monday November 02, 2020 @09:35AM (#24968515)
You make it sound as if devops is the initiator of the complexity problems. This might well be in your case. My experience is the other way around.

I'm forced to think about stuff like Kubernetes because the devs are popping "micro-services" for almost anything and the answer to trying to keep things manageable is, hopefully, K8s.

Of course they then send funny memes and argue that K8s is overkill. Yet they have no idea how much a devops guy has to do to actually ramp up one of their multi-gigabyte container.

The whole micro-services mentality is proving to be backwards in my environment. It's seen as the answer to everything. "Oh we have a behemoth, let's just not use this part of the application and reimplement it somewhere else." In essence that's great. However, the grunt of the work is making tests to capture old behaviour/semantics; and who are the (indirect) clients of this piece of code. Ignoring a piece of code to death and reimplementing it somewhere else behind a socket is only part of the solution.

The hyperscalars are benefiting greatly of this mindset imo.

Re:Is a billion dollars worth of server lying on the ground? by ehnto on Monday November 02, 2020 @10:57AM (#24969461)
Oh yeah, my point of view is entirely based on my experience with small to medium sized companies, and there especially developers can be the instigators in sudden complexity multipliers.

I tried my best not to rag on devops as I am always incredibly impressed by these systems and what can be achieved and automated. It absolutely has it's place.

It's just that all the technology that big companies use become trendy and then end up used at small companies too. Small companies don't realise that the tools aren't solving the problems they have, and they don't understand the vendor lock ins and dependencies that they've introduced into their platform for no real gain.

This happens in all kinds of ways, not just devops. Your example of developers using the microservice pattern is exactly that. When I see a developer recommend microservices my mind flashes forward to all of the extra complexity that entails and how we've just turned a small monolith on one server into 6 pieces of software across distributed servers. Great for big companies, too much complexity for small companies.

Re:Is a billion dollars worth of server lying on the ground? by Spivak on Monday November 02, 2020 @09:33AM (#24968477)
At my company we colo at a few local datacenters and have do deal with a huge amount of pressure from our investors as to why we're not using AWS.

The points that always seem to come up:

* AWS is a known quantity and it's easier to evaluate our business with it.

* AWS provides "outage damage control" because AWS outages make the news and customers are more understanding. When our ISP has issues it just looks bad on us.

* Our company doesn't look as innovative because we're not cloud. Bleh.

Our app is compute, storage, and data transfer heavy but switching to AWS being a, literally, 10x cost for us is apparently not enough a good enough answer.

Re:Is a billion dollars worth of server lying on the ground? by KingOfCoders on Monday November 02, 2020 @10:18AM (#24968980)
Also: Investors want you to burn money. They don't want you to save money. If you run out of money and it works they give you more for more equity. If it doesn't work, they can move on earlier.
Re:Is a billion dollars worth of server lying on the ground? by grogenaut on Monday November 02, 2020 @04:12PM (#24973410)
A startup I was with in 1999 was owned by a guy who build a super scrappy local isp who sold out to a big co which then sold out to cable.

However the startup was all built on oracle and sun boxes because "this is what investors want to see" and we'll get .80 on the dollar if we have to liquidate. We had some nimrod spend 8 months trying to get oracle to run on bare drives for our 100 tps (max) website.

They refused to let us use mysql or linux even tho the owner was very familliar with them from the ISP.

I think we spent 3x headcount on the hardware and software, eg we could have run for another 2 years had we been more scrappy. Not that the business idea was all that good.

We also got .3 on the dollar iirc.

Re:Is a billion dollars worth of server lying on the ground? by mwcampbell on Monday November 02, 2020 @10:06AM (#24968841)
How do you do failover if a server fails or if connectivity to one of those datacenters is lost? With AWS I could just set up a multi-availability-zone RDS deployment for the database and an auto-scaling group for the web tier and be confident that AWS will recover the system from most failures. To me, that is the major selling point of any of the hyperscale cloud providers.
Re:Is a billion dollars worth of server lying on the ground? by KingOfCoders on Monday November 02, 2020 @10:20AM (#24968997)
"connectivity to one of those datacenters is lost"

Anecdotal, but AWS had more global problems than the triple connected data centers I've used in twenty years.

I suffered through many rough times, data center connection or power problems were not (very seldom) one of those.

Most of the problems came from apps that we didn't build well to scale or that had bugs (most frequent cause of problems and sitedowns).

Re:Is a billion dollars worth of server lying on the ground? by HelloNurse on Monday November 02, 2020 @10:57AM (#24969476)
> With AWS I could just set up a multi-availability-zone RDS deployment for the database and an auto-scaling group for the web tier and be confident that AWS will recover the system from most failures

"Confident"? "Most" failures? Are you merely hopeful that the probability of a bad failure is low, or are you able to test the AWS resiliency techniques you mention and to ensure that they stay working? At what cost?

Re:Is a billion dollars worth of server lying on the ground? by milesvp on Monday November 02, 2020 @11:44AM (#24970033)
My experience with RDS instances that had multi region failover, was that the failovers worked every time we needed them for deployments (I don’t think we ever needed them for RDS failures). The cost though was enormous. Our write db represented the lions share of our AWS cost, and doubling it for disaster mitigation increased our costs by something like 50%. It was mostly worth it from a business perspective when we were less sure about AWS uptimes, but I’m not sure I could keep justifying the cost given how little problems we had with RDS over time.
Re:Is a billion dollars worth of server lying on the ground? by Spivak on Tuesday November 03, 2020 @05:49PM (#24984947)
Physical hardware failures are handled by having everything in VMs and storage handled by Ceph. We can lose plenty of physical boxes simultaneously before we run into capacity issues.

Multi-DC failover is handled by announcing our public IP block at both locations with different weights. It’s technically active/active because traffic can come in at the secondary DC but we have a internal site-to-site VPN that is used to direct traffic to the primary. If the primary DC goes down the secondary starts handling the traffic instead of passing it along. All the database masters flip to the secondary and things keep humming along.

If we lose the site-to-site then the secondary stops advertising altogether and all traffic is forced to the primary.

So we can lose the site-to-site (which is dedicated) or one of the DCs at any time.

Re:Is a billion dollars worth of server lying on the ground? by erikbye on Monday November 02, 2020 @11:19PM (#24976241)
> How do you do failover if a server fails

Not sure if you do not know anything about typical ESXi and vSphere setups, but if a server fails, all virtual machines are automatically migrated to a healthy server. And of course, your HPE G10s are compute only, all storage is on the fiber channel connected SAN.

Re:Is a billion dollars worth of server lying on the ground? by tatersolid on Wednesday November 04, 2020 @09:06AM (#24989139)
You don’t get 17 server licenses for vSphere or a SAN for $55k as outlined above. More like $500k plus another $100k/year in maintenance.

You’re still paying a cloud provider, but in this case it’s VMware

Re:Is a billion dollars worth of server lying on the ground? by Spivak on Tuesday November 03, 2020 @05:26PM (#24984735)
Yep! We have a KVM and Ceph based setup but it's basically the same as you describe.
Re:Is a billion dollars worth of server lying on the ground? by Cthulhu_ on Monday November 02, 2020 @08:24AM (#24967867)
From AWS' own marketing propaganda: How much would said clients have to invest in people and hardware otherwise? What if their application becomes an overnight success and needs to scale up fast?

Sure, if it's an established company then using their own hardware (and people to set up and manage it) might make sense; iirc Dropbox is a fairly recent big player that made that move. But otherwise it's a big upfront investment to make, and you can't know if it'll pay itself back.

So sure, AWS can be 2x or more as expensive as renting servers at a company like OVH or building your own datacenter, but it's paid by the minute if need be, not all in one go. If your startup or its VC money runs out in six months at least you can quickly scale down and pull out.

Re:Is a billion dollars worth of server lying on the ground? by fabian2k on Monday November 02, 2020 @08:38AM (#24967982)
I think 2x is a bit optimistic, if you just compare what kind of hardware you get by renting a dedicated server compared to EC2 it can easily be 5x or more. Of course that compares very different things, and doesn't mean that renting dedicated servers is always cheaper. The comparison gets much, much worse when significant amounts of traffic is involved. And scaling down isn't so much more difficult than with AWS within certain limits.

Comparing managed services like databases is maybe more meaningful than just EC2, but also so much more difficult.

Re:Is a billion dollars worth of server lying on the ground? by duhast on Monday November 02, 2020 @10:08AM (#24968861)
StackOverflow is famous for running on-prem on bare metal Dell hardware: https://nickcraver.com/blog/2016/03/29/stack-overflow-the-ha...

Last time I checked, GitHub was also mostly on bare metal and cloud-free.

Re:Is a billion dollars worth of server lying on the ground? by 908B64B197 on Monday November 02, 2020 @12:43PM (#24970771)
They launched in 2008, on a stack built around IIS because that was what their early devs were familiar with.
Re:Is a billion dollars worth of server lying on the ground? by Nextgrid on Tuesday November 03, 2020 @12:47AM (#24976754)
Is this supposed to be a bad thing?
Re:Is a billion dollars worth of server lying on the ground? by whatshisface on Monday November 02, 2020 @10:23AM (#24969024)
StackOverflow does predate the AWS world takeover.
Re:Is a billion dollars worth of server lying on the ground? by duhast on Monday November 02, 2020 @10:34AM (#24969185)
How is this relevant? Amazon.com also predates AWS.
Re:Is a billion dollars worth of server lying on the ground? by skj on Monday November 02, 2020 @11:44AM (#24970038)
The implication is that they had already solved these problems and redoing the stack has its own cost to consider.
Re:Is a billion dollars worth of server lying on the ground? by bsenftner on Monday November 02, 2020 @08:38AM (#24967979)
For my own startup, I built a small cluster of 17 servers for just beneath $55K, and that had a month-to-month expense of $600 placed in a co-lo. In comparison, the same setup at AWS would be $96K per month. And it is not hard, easy in many ways. Do not be fooled, the cloud companies are peddling is an expensive scam.
Re:Is a billion dollars worth of server lying on the ground? by Retric on Monday November 02, 2020 @09:25AM (#24968392)
Cloud companies are useful as long as you want what their selling. The best case is needing say 2 TB of ram for some workload or test that only going to take a few hours.

Or something like the Olympics where 95% of your demand comes in a predictable spike across a few days.

Re:Is a billion dollars worth of server lying on the ground? by chasd00 on Monday November 02, 2020 @12:44PM (#24970795)
very true, the original selling point for Cloud was instant upgrade/downgrade as needed. That was the original amazing thing, dials that said RAM and CPU you could turn up or turn down.
Re:Is a billion dollars worth of server lying on the ground? by ed25519FUUU on Monday November 02, 2020 @10:21AM (#24969010)
If I was doing my own thing I would go the same route as you, but I’m knowledgeable about this stuff, and can manage the entire system (network, replacing bad hardware, etc). It would need to be a very good reason for me to be oncall for that, or else I’d save money by going with something like ovh.
Re:Is a billion dollars worth of server lying on the ground? by ti_ranger on Monday November 02, 2020 @09:52AM (#24968702)
> For my own startup, I built a small cluster of 17 servers for just beneath $55K, and that had a month-to-month expense of $600 placed in a co-lo. In comparison, the same setup at AWS would be $96K per month.

Why would you build exactly the same setup in AWS as for on-prem, unless your objective is to (dishonestly) show that on-prem is cheaper?

Lift-and-shift-to-the-cloud is known to be more expensive, because you aren't taking advantage of the features available to you which would allow you to reduce your costs.

Re:Is a billion dollars worth of server lying on the ground? by bsenftner on Monday November 02, 2020 @11:08AM (#24969601)
> Why would you build exactly the same setup in AWS as for on-prem...

It was far better to invest a little up front, and maintain at $600 my operations than the same for $96K a month, that's why.

I never "lifted and shifted", I built and deployed, with physical servers, a 3-way duplicated environment that flew like a hot rod. At a fraction of cloud's expense.

Re:Is a billion dollars worth of server lying on the ground? by necovek on Tuesday November 03, 2020 @03:20AM (#24977566)
I think the point GP was making is that you could have likely started off much cheaper, eg. with 2k/month of AWS costs before needing to "simply" scale at eg. 12 months, especially so if using managed services and not just bare ec2 instances.

I personally think there's room for both, and I think hybrids between on-prem and cloud are the ideal for long running apps: you size your on-prem infrastructure to handle 99% of the load, and scale to the cloud for that one-off peak.

That's still pretty complicated due to different types of vendor lock in (or lock out in some cases). Google has invested in k8s to get people some value for moving away from AWS.

Re:Is a billion dollars worth of server lying on the ground? by bsenftner on Tuesday November 03, 2020 @08:19AM (#24979351)
My application had (still would have) very high CPU requirements, and 2k/month would have got me spending more money than necessary. When I started I bought 1 server with the capacity I needed and put that in co-lo for $75 a month. That little puppie was equal to $10K a month at AWS, so why would I want to use AWS again? Just do the math, even 1 server out performs and is exponentially less expensive. The cloud has the majority of engineers looking like morons from a financial literacy perspective.
Re:Is a billion dollars worth of server lying on the ground? by srtjstjsj on Monday November 02, 2020 @07:20PM (#24975006)
Are you claiming that you knew exactly how powerful you needed your machines to be, before you launched? Or are your machines running at 25% utilization which AWS would charge substantially less for?
Re:Is a billion dollars worth of server lying on the ground? by bsenftner on Monday November 02, 2020 @09:41PM (#24975829)
I'm not making any such claim. I'm saying I built a 24-7 available physical 17-server cluster to operate my startup's needs. I had more capacity than I needed, but at the same expense thru AWS I'd not have enough to operate. At less than the expense of one AWS month, I had my entire environment owned outright. How is that difficult to understand?
Re:Is a billion dollars worth of server lying on the ground? by WrtCdEvrydy on Monday November 02, 2020 @08:28AM (#24967899)
AWS also gives you a lot of cost savings for using Spot and signing contracts with minimum spends. Only a small shop pays full price for anything.
Re:Is a billion dollars worth of server lying on the ground? by shiftpgdn on Monday November 02, 2020 @09:03AM (#24968203)
Okay but then you have to engineer your application around interuptable spot instances. You're also making a 36 month commitment when you sign that contract (generally buying the hardware for Amazon.)
Re:Is a billion dollars worth of server lying on the ground? by WrtCdEvrydy on Monday November 02, 2020 @09:38AM (#24968539)
> you have to engineer your application around interuptable spot instances

This is where your ALBs and ASGs come in. If your app doesn't use local writing and you can shift your caching to a shared cache, the cost savings are good.

Re:Is a billion dollars worth of server lying on the ground? by lvh on Monday November 02, 2020 @08:03AM (#24967692)
It's possible that "many" firms do this, but given AWS' growth numbers that would imply they don't really spend meaningful amounts to begin with.

Counterpoint: I've seen a great many false economies with people trying to go on-prem and do alternative hosting because they don't think the AWS premium for e.g. GPU instances is worth it. I don't think that has generally worked out well.

Re:Is a billion dollars worth of server lying on the ground? by freeone3000 on Monday November 02, 2020 @01:58PM (#24971686)
The AWS premium for GPU instances is absolutely not worth it. You don't hear about people running local GPU compute clusters because it's not newsworthy -- it's obvious. Put a few workstations behind a switch, fire up torch.distributed, you're done. And after two months, you've beaten the AWS spend for the same amount of GPU compute, even if only 50% of the time is spent training. Timesharing is done with shell accounts and asking nicely. You do not need the huge technical complexity of the cloud: it gets in the way, as well as costing more!
Re:Is a billion dollars worth of server lying on the ground? by srtjstjsj on Monday November 02, 2020 @07:23PM (#24975022)
What if you want 10x the GPU for one month to build a model?
Re:Is a billion dollars worth of server lying on the ground? by freeone3000 on Tuesday November 03, 2020 @12:07AM (#24976528)
That's the only scenario I can think where it comes out clearly in favor of AWS - you've tested your model in the small on Colab, you're confident you'll need only a few training runs, you can schedule them in us-east, and you can inference on CPU, and you won't need to rebuild for another eight months (when purchased cards become outdated).

It's not an impossible scenario... But imagine the sort of company that trains their own model instead of using a huggingface refinement or an off-the-shelf redistillation. (These can be done reasonably on an average gaming PC, no need for a cluster.) Such a company has expensive human resources. They bothered to get a data scientist and at least a research engineer, if not a full researcher. Were they hired on six-month contract as well? This is a huge expense, so it must be an important differentiator to have built a custom model -- and it's a one-and-done? I don't see it. I think it's going to be an ongoing project, or it shouldn't have been approved in the first place.

Re:Is a billion dollars worth of server lying on the ground? by KingOfCoders on Monday November 02, 2020 @08:12AM (#24967786)
"It's possible that "many" firms do this, but given AWS' growth numbers that would imply they don't really spend meaningful amounts to begin with."

I could spend a million EUR a year on AWS without the need for most of the services of AWS?

But it YMMV and 1M EUR/y is not meaningful, perhaps we differ there.

Re:Is a billion dollars worth of server lying on the ground? by qaq on Monday November 02, 2020 @08:14AM (#24967795)
There is no good data to prove either statement. You could def prove that for some large scale onprem for a given type of problem is cheeper than the cloud.
Re:Is a billion dollars worth of server lying on the ground? by foxtr0t on Monday November 02, 2020 @05:56PM (#24974464)
This article may be poorly written, but if you actually read through the whole thing, it makes some brilliant points:

1. IaaS providers are incentivized to create services that lure you with managed solutions that seem like a great deal on paper, while they are actually more expensive to operate than their self-rolled alternative.

2. "DevOps" and "Infra" people charged with making these decisions often follow the industry zeitgeist, which for the moment is whatever AWS, GCP, and Azure are offering. This is in spite of the best interests of the company they work for. The right decision in so many cases is what choice one can defend when something goes wrong, or what you can parlay into the next gig. If costs, performance, and features aren't closely managed, scrutinized, compared, going with a solution like Aurora/Redshift/Dynamo won't be challenged.

3. Nothing is easily comparable because these services aren't just a CPU as you mention, instead they're hardware and software rolled into one. This is intentional, and has little to do with making things easier for you. At best, IaaS providers defend this as "differentiation" but it's closer to obfuscation of true cost. Go ahead and ask your AWS rep if use case x, y, and z will perform well on lambdas and you'll likely get a near canned response that they all fit perfectly, even if y is a job with high load spread uniformly through time. The only way you can make this comparison is by creating the two services, standing them up in production for a week and checking the bill. In other cases such as FPGAs and databases, you'll have a much harder time as not only is the software/hardware offering unique, but the user code will be completely different and require entire rewrites to get what _might_ be a fair comparison.

Re:Is a billion dollars worth of server lying on the ground? by Aeolun on Monday November 02, 2020 @06:08PM (#24974546)
Anecdotally, my company spends several millions a year on AWS, and they do it mostly so they don’t have to think too much about the hardware every team uses to implement their solutions. I’d say the strategy is an unmitigated success, even if it costs them 3 times more than a similar on-premise (or dedicated) solution would cost.

My last company went the dedicated route, and they were perpetually in need of more servers because nobody was willing to pre-plan capacity. To the point that the database team just couldn’t provision any new databases for a year.

Re:Is a billion dollars worth of server lying on the ground? by crisper78 on Monday November 02, 2020 @06:40PM (#24974768)
My last company, went the dedicated route, had management that understood how much of a ripoff AWS/Azure/GCP was and hired people who know how a lot of apps are built and run, and didn't need to redevelop them to fit the architecture which costs a metric ton more with little benefit. Press releases are almost always complete BS from companies when it comes to tech, again not all but most, we saved x using some dubious calculation.

AWS makes some things easy sure, but at my house I have what would cost $15k a year and I spent ~1500 all-in including 10G switch(used) power use is a joke, even with expensive electricity where i am AWS still a ripoff. Same processors as AWS essentially as he was quoting, 10G to my home nodes that need it and bobs your uncle. And I do tensorflow things at home too, i bet that would cost 30k/year, i do it for $1500 BOUGHT and for another $500 for a 3080 or a few in my servers and id be saving tons. Yeah it can go down, but just buy two or a rack, its going to be cheaper than AWS hosted colo. I could scale this myself to a few thousand servers, ive seen it done wrong so many times.....

The truth is more like he mentioned in hist first paragraph, if you have a fan boy at the helm it doesn't matter if he's CTO he knows it all, Ive worked with a lot of CTO's lately they don't have a clue and I feel sorry for them, wasting so many company assets because underlings couldn't possibly know more, i love the x google/facebook guys saying basically scrap everything re-architect its funny and so wasteful but at least they are making more money than me!

One guy said he hates Jenkins, some teams have hundreds of jobs in jenkins that work just fine, he said it should all be redeveloped, some of the stuff has been working fine for 10+ years, not sure he has company interest in mind, he want' everything to be "serverless" its the same damn thing effectively genius.

Hire some sysadmins to run your show, the good ones cost a ton, and computers at their core haven't really changed much in 20+ years nor has the fundamental way the internet works. Good experienced sysadmins can save you a ton and its just as reliable. You just have to trust experience over advertising and real math over funny math.

Re:Is a billion dollars worth of server lying on the ground? by Aeolun on Tuesday November 03, 2020 @08:12AM (#24979298)
I wonder, what do you do if you want multi-region failover in your home setup?

I’m fully in agreement that owning your own hardware is cheaper. But if you want extreme redundancy as a company now and be mostly certain it works, you move to AWS instead of trying to build a team that will set that all up for you.

Also, when doing tensorflow things on AWS I can just temporarily rent that monster server with 12? GPU’s to train my model in a few hours, instead of waiting for my home server to do the same thing in days (even though that’s cheaper).

Re:Is a billion dollars worth of server lying on the ground? by foxtr0t on Monday November 02, 2020 @06:30PM (#24974704)
Stepping back though, you do make that hardware choice when you select a service from an IaaS. The actual selection is hidden from you, though. It is a tradeoff where the industry has overwhelmingly come out on one side. I think it's time to start questioning this. Instead of hiring engineers with "AWS experience" why not engineers with experience automating systems using OSS tooling?
Re:Is a billion dollars worth of server lying on the ground? by PragmaticPulp on Monday November 02, 2020 @10:21AM (#24969013)
> You'll pay more than the price difference for someone to implement all of that from scratch.

This is a common trap for startups. AWS has been around long enough that everyone has a 1st-hand or 2nd-hand horror story about someone with a $5000/month AWS bill for a basic website. This creates a false narrative that AWS is bad and or dangerously expensive. Or worse, that clever devops engineers can simply roll their own solutions with open source tools for half the cost.

The reality is that if a startup truly needs $5K/month of AWS services, they’re getting a bargain by buying it from Amazon instead of building it out themselves. $5K/month won’t even begin to buy you another qualified devops engineer to build and maintain custom infrastructure. The first rule of startup engineering is to use every tool available at your disposal to get to market as fast as possible. Cost reduction can come later, but you can never get back wasted time spent rolling your own solutions when an off the shelf vendor could have solved your problem in days rather than months.

However, the other trap is when inexperienced or overeager engineers see the long list of AWS product offerings and think the goal is to use as many of them as possible. There are some misaligned incentives for engineers who want to gain as much AWS experience as possible on their employer’s dime, regardless of whether or not it’s the right business decision. Worst case, mid-level engineers use as many AWS services as possible so they can pad their resumes, then use the experience to pivot into a higher paying job elsewhere and leave the startup with a mess of half-implemented, unnecessary AWS infrastructure and no one to maintain it. Unfortunately, it happens frequently in the startup world where companies are more likely to hire junior engineers who are eager to tinker with AWS and build their resumes.

The brute force way to avoid this problem is to simply constrain the engineering team to a less powerful platform like OVH or DO. If you don’t need any features of the bigger clouds, this works. However, as soon as you do need the big-cloud features you’re going to waste huge amounts of money building them out yourself. It won’t show up on the monthly provider bills, but rather be hidden in the much higher engineering costs and longer project timelines.

The real solution is to hire experienced engineering leadership who will keep complexity in check, then use AWS or other big cloud providers responsibly.

Re:Is a billion dollars worth of server lying on the ground? by kikimora on Wednesday November 04, 2020 @05:30PM (#24993720)
Can you share a story about how AWS helped to remove or redeuce spend on devops? In my experience with AWS you would get $5000/month for a basic website and also would be paying devops to manage AWS.
Re:Is a billion dollars worth of server lying on the ground? by darkwater on Monday November 02, 2020 @08:47AM (#24968053)
Absolutely. But they also charge you independently for (almost) all those services. So, you are somehow still paying for a sort of "comfy lock-in" (no native speaker here so try to follow me even if words are not the exact ones) because you cannot access those services from another pure CPU resource on another (cheaper) provider.

Basically, AWS is squeezing as many dollars as possible from your pockets (good for them).

Re:Is a billion dollars worth of server lying on the ground? by npsimons on Monday November 02, 2020 @12:59PM (#24970957)
> You'll pay more than the price difference for someone to implement all of that from scratch.

I also think the "pay someone to set this up" factor is underestimated. Person time cost eclipsed computer time cost a long time ago. If you've got the market demand to need that kind of infrastructure, you're almost certainly operating at a scale where you can afford to dish out the extra dough because it will reduce downtime and overhead enough to make the ROI worth it.

I'm not an expert in this (I'm just a code monkey who works with scientists, and side hustles as a small time sysadmin), but reading books like "Release It!" and reading blogs (especially DevOps, as I'm looking at getting into that) gives me the impression that if someone could reduce their costs while still getting the value AWS gives, they'd be doing it. I mean, maybe it's a well-kept secret (especially if it gives a market advantage), but if it's so easy, I'd think everyone would be doing it, and AWS would be out of business.

Edit: I concede that startups probably don't need AWS; what I'm thinking of above is big, old, established companies that believe "no one was ever fired for buying AWS." But I do believe that you have to have smart, motivated people in order to grow while staying lean, and just because we hear the survivor stories of startups that do, doesn't mean there aren't dozens that die because inexperienced devs though they could do better than AWS, and were proven wrong.

Re:Is a billion dollars worth of server lying on the ground? by hinkley on Monday November 02, 2020 @09:10PM (#24975677)
I have a small app I run just fine in Digital Ocean, but at work we care about not just geographical redundancy but geographical load balancing. Having user traffic cross the country puts you at a deficit for response times, and if that matters to your company, having servers close to clusters of users is a good thing.

I can do that a little bit with DO. What are my options with OVH? I see them bragging about having the biggest data center, as if I am supposed to think that's a good idea instead of a terrible one.

Re:Is a billion dollars worth of server lying on the ground? by asymptotically3 on Tuesday November 03, 2020 @10:40AM (#24980600)
>I can do that a little bit with DO. What are my options with OVH?

OVH have datacentres in multiple countries just like DO.

Re:Is a billion dollars worth of server lying on the ground? by hinkley on Tuesday November 03, 2020 @01:24PM (#24982400)
There are parts of the US that are still pretty far from the nearest DO data center. If I go AWS I don't have that problem.

I should clarify that I am playing devil's advocate here. I've never been pro-Amazon (although I slipped for a bit there, I'm feeling much better again), they just have answers for some questions that I don't.

Or at least, not until multi-cloud is on everyone's radar. The combined coverage map of any two AWS competitors generally looks more competitive, but we collectively have to 'work' on the people who think that would be too hard.

Re:Is a billion dollars worth of server lying on the ground? by an_opabinia on Monday November 02, 2020 @12:12PM (#24970440)
Sounds like you're listing the enterprise features people pay for. If Amazon sells it so cheaply why don't enterprises go direct to Amazon instead of paying a SaaS provider like you?

It's about economics not accounting.

Once you get into cost comparisons you've already lost. AWS is purpose built for an accounting narrative.

To illustrate what a dead end accounting is, accounting can't explain things like, "I spend money today to possibly make money more than 1 year in the future." That's basically every startup and accounting doesn't have a story for it.

Of course a free tier looks good accounting-wise. How does one "account" for lock-in though? If you can't figure that out you will not convince bean counters to consider alternatives.

And good luck teaching economics (as opposed to accounting) to bean counters.

Here are a few compelling explanations: the cheapest bid (i.e. free tier) is always the worst one. Some people are so addicted to accounting storytelling - as a way to organize their world, a whole philosophy - they are actually always convinced the cheapest bid is always the best one.

Another: AWS is so overpriced, the $50k you spend on developing against AWS services to use $500k of "free credits" will deliver less value than $50k you spend developing for a single vertically scaled beige box computer with simple ergonomics and running it.

Re:Is a billion dollars worth of server lying on the ground? by romanoderoma on Monday November 02, 2020 @06:07PM (#24974539)
Don't know why you are being downvoted, but I agree with your reasoning.

I've worked most of my career in places where technology was king and AWS is certainly technologically ahead of its competitors.

Fast forward a couple decades and I ended up in financial institutions where economics is king and they don't use AWS, not as much as they should, if you listen to the average internet guru.

Not because AWS doesn't do what they say it does, but because economically it's not advantageous, at least until it is.

Which is not at the beginning.

To put it in simple words: they don't ask "are we ready to scale" but instead "are we making money out of this".

Re:Is a billion dollars worth of server lying on the ground? by 908B64B197 on Monday November 02, 2020 @12:39PM (#24970744)
Exactly.

That and the 9's. I don't know how good OVH is with outage and availability. Sure the raw compute is cheaper.

There's also storage. He's renting physical drives on OVH meaning he has to take care of replication and back-up himself. The disks in his AWS VMs should be persistent. If his OVH server goes down due to hardware failure, what happens to his disks? I genuinely don't know.

Lastly, OVH doesn't have regions everywhere. Then it's yet another different provider with slightly different product for every geographical region he wants to support.

Re:Is a billion dollars worth of server lying on the ground? by ianhowson on Monday November 02, 2020 @02:38PM (#24972175)
Allow me to educate you :-)

> I don't know how good OVH is with outage and availability.

I've personally observed failure rates similar to AWS EC2 and EBS. You need to plan for failure, like any cloud provider.

> the raw compute is cheaper

Dramatically so. 20% of the price.

> There's also storage

You can get local NVMe, cheaply, with literally 100x the perf you can get with the most expensive EBS volumes. AWS does not have a storage offering that comes close, not even their instance store NVMe.

> what happens to his disks

VM images can be backed up automatically without downtime (on a schedule, not live.) They offer an EBS equivalent.

> OVH doesn't have regions everywhere

They have enough. us-west, us-east, eu-west, APAC, others. I'll grant that the US regions are operated by a different corporate entity and a different web interface, and that is annoying.

Re:Is a billion dollars worth of server lying on the ground? by 908B64B197 on Monday November 02, 2020 @02:50PM (#24972354)
> VM images can be backed up automatically without downtime (on a schedule, not live.) They offer an EBS equivalent.

But if you need to persist transactions you still need to replicate and persist state yourself. Or can I mount an OVH virtual drive that I know will survive across VM migrations?

> I'll grant that the US regions are operated by a different corporate entity and a different web interface, and that is annoying.

Why? Do they at least support the same API? Can OVH actually scale on demand?

Re:Is a billion dollars worth of server lying on the ground? by ianhowson on Monday November 02, 2020 @03:07PM (#24972567)
> Or can I mount an OVH virtual drive that I know will survive across VM migrations?

Yes, Block Storage: https://us.ovhcloud.com/public-cloud/block-storage/

> Do they at least support the same API?

Yes

> Can OVH actually scale on demand?

Not as big as AWS, but yes.

Remember that you're getting 5x the compute resources for the same money. You don't need to autoscale as much. You're not fighting crappy EBS performance. You're not architecting around remote-network RDS databases with milliseconds of RTT. I firmly believe that for most applications you're going to be better off just massively overprovisioning your hardware and keeping the software stack simple.

Re:Is a billion dollars worth of server lying on the ground? by 908B64B197 on Monday November 02, 2020 @03:26PM (#24972802)
That's really interesting. I never used OVH, you could probably tell!