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Over a third of firms hit with unexpected cloud costs

(Image credit: Shutterstock / vs148)

More than a third of public cloud customers have had to deal with unexpected costs, the latest research from cloud-native service provider Civo suggests. 

The company recently polled 1,000 developers at businesses of all sizes and learned that 37 percent have faced these pricing issues in the last twelve months. Half of them said a mistake or configuration change led to these unexpected costs, while others hinted at “opaque and complicated cloud usage”.

In fact, 34 percent claim it’s difficult to calculate exactly how much the cloud provider is going to charge each month, while just 17 percent said they didn’t struggle with these calculations. 

While data transfer is the area that the largest number of firms (21 percent) struggle to monitor, compute, storage, and on-demand instances were also cited. 

These difficulties are not inhibiting growth among the hyperscalers, though. AWS reported almost $5 billion in profits, on sales of over $16 billion (a margin of more than 30 percent), in its latest reported quarter. 

Civo’s research found that 82 percent of respondents think the big three (AWS, Azure and Google Cloud) should reduce their charges, while 81 percent say the cloud giants “try to give the impression they are low cost”, but are in fact quite expensive.

For three-quarters of businesses (74 percent), cloud costs have risen in the last twelve months, with the average increase coming in at 66 percent.

Sead Fadilpašić is a freelance tech writer and journalist with more than 17 years experience writing technology-focussed news, blogs, whitepapers, reviews, and ebooks. And his work has featured in online media outlets from all over the world, including Al Jazeera Balkans (where he was a Multimedia Journalist), Crypto News, TechRadar Pro, and IT Pro Portal, where he has written news and features for over five years. Sead's experience also includes writing for inbound marketing, where he creates technology-based content for clients from London to Singapore. Sead is a HubSpot-certified content creator.