D2 3 Computing e-Infrastructure cost calculations and business _models_vam1-final
D2 3 Computing e-Infrastructure cost calculations and business _models_vam1-final
D2 3 Computing e-Infrastructure cost calculations and business _models_vam1-final
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e-‐FISCAL: www.efiscal.eu <br />
EC Contract Number: 283449 <br />
4.5.2 Pricing Models<br />
Many classifications have been proposed in the area of pricing schemes as presented in the state of art. The <br />
identified pricing <strong>models</strong> <strong>and</strong> classification that follow have been derived by analysing the real-‐world offerings <br />
from the major commercial cloud providers. Usually, all providers offer at least usage-‐based <strong>and</strong> subscription-based<br />
<strong>models</strong>, while currently only one provider digs into the market-‐based model. Strategy-‐based <strong>models</strong> may <br />
appear for certain customer domains (e.g. education, not for profit). Therefore, by analysing the current market <br />
for IaaS cloud services, we can derive the following schemes: Usage Based Pricing, Subscription, Market Based <br />
Pricing <strong>and</strong> Strategy Based. <br />
The following table examines three of the main players in the IT sector: Amazon (A), Google (G), <strong>and</strong> Microsoft <br />
(M) <strong>and</strong> their adoption of the identified pricing <strong>models</strong> <strong>and</strong> their variables. <br />
Figure 13: Usage-based Model<br />
Usage-‐based <strong>models</strong> (Figure 13) change the risk-‐sharing between the service provider <strong>and</strong> consumer by limiting <br />
the commitment from users as they can quit the service consumption any time without incurring in extra-‐<strong>cost</strong>s. <br />
While this brings agility to the user, it can negatively impact on the cash flow of the service provider. That is why <br />
usually these pricing <strong>models</strong> are more <strong>cost</strong>ly than other options that imply a longer commitment from users. <br />
Figure 14: Subscription-based Model<br />
e-‐FISCAL : Financial Study for Sustainable <strong>Computing</strong> e-‐<strong>Infrastructure</strong>s <br />
Deliverable <strong>D2</strong>.3 – <strong>Computing</strong> e-‐<strong>Infrastructure</strong>s <strong>cost</strong> estimation <strong>and</strong> analysis – Pricing <strong>and</strong> <br />
Business <strong>models</strong> <br />
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