On average how much is infrastructure saved from on premise to cloud migration?

Roman Burdiuzha
2 min readJul 12, 2023

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The amount of infrastructure savings from on-premise to cloud migration can vary depending on various factors such as the size of the organization, the specific workload, and the cloud provider chosen. However, cloud migration typically offers cost advantages that can result in significant infrastructure savings.

Here are a few key factors that contribute to cost savings during a cloud migration:

Reduced Capital Expenditure

With on-premise infrastructure, organizations need to invest upfront in purchasing and maintaining servers, networking equipment, and data centers. In contrast, the cloud operates on a pay-as-you-go model, allowing businesses to shift from capital expenditure (CapEx) to operational expenditure (OpEx). This eliminates the need for large upfront investments, resulting in potential cost savings.

Scalability and Elasticity

Cloud providers offer the flexibility to scale infrastructure resources up or down based on demand. This elasticity allows businesses to dynamically adjust their infrastructure to match workload requirements. By paying only for the resources used, organizations can avoid overprovisioning and reduce costs during periods of low demand.

Optimal Resource Utilization

Cloud platforms enable better resource utilization through features like auto-scaling and load balancing. These capabilities ensure that resources are allocated efficiently, minimizing waste and optimizing cost-effectiveness.

Cost-Efficient Storage

Traditional on-premise storage solutions can be costly to maintain and scale. Cloud providers offer various storage options, such as object storage and block storage, with different pricing tiers. By leveraging the cloud’s storage services, organizations can achieve significant cost savings based on their specific storage needs.

Reduced Maintenance and Management Costs

Cloud providers handle the maintenance and management of underlying infrastructure, including hardware updates, security patches, and system administration. This reduces the burden on organizations to maintain a dedicated IT team, resulting in potential cost savings.

While the exact amount of infrastructure savings will vary depending on individual circumstances, studies and industry reports have shown that organizations can achieve cost savings ranging from 30% to 70% by migrating from on-premise to the cloud. It’s important to conduct a comprehensive cost analysis specific to your organization’s needs and compare the expenses of on-premise infrastructure against the projected costs of the cloud migration to determine the potential savings.

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Roman Burdiuzha

Cloud Architect | Co-Founder & CTO at Gart | DevOps & Cloud Solutions | Boosting your business performance through result-oriented tough DevOps practices