Ask the Experts: The cloud cost reckoning
This InformationWeek article examines why enterprises are reassessing cloud cost structures and emphasizing optimization strategies. It underscores the importance of governance and architectural clarity. Reach out to Derive Technologies to discuss how to balance innovation with cost discipline in cloud environments.
Why are cloud costs rising?
Cloud costs have been rising primarily due to the increased sophistication and integration of cloud services. As organizations utilize more advanced cloud capabilities, their consumption has grown, leading to higher expenses. Additionally, a lack of diligence in managing cloud resources has resulted in overprovisioning and inefficient usage, further driving up costs.
Are organizations reconsidering cloud strategies?
Many organizations are rethinking their cloud strategies, with some considering 'repatriation'—moving workloads back to on-premises environments. According to the 2025 Azul CIO Cloud Trends Survey, 83% of CIOs reported spending 30% more than anticipated on cloud infrastructure, prompting a reevaluation of their cloud deployments.
What are the benefits of maintaining a hybrid environment?
Organizations like Laserfiche maintain a hybrid environment because it can be more cost-effective than being fully cloud-based. By combining on-premises resources with cloud services, they can optimize costs while still benefiting from the scalability and speed of cloud solutions. This approach allows them to manage expenses more effectively while meeting their operational needs.
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Ask the Experts: The cloud cost reckoning
published by Derive Technologies
Derive Technologies, was founded in 2000 through the combination of two long-standing technology firms dating back as far as 1986; and incorporated as “Derive Technologies” in the beginning of 2001. Derive's team -- all of them already long-time collaborators at the time of the company's official founding -- continue to design and deliver progressive business-technology solutions that meet the challenges of New York Metro Area, national, and global enterprises, with a focus on on-going cost reduction. Starting as a local system integrator, Derive grew to become a value-added enterprise reseller (VAR), and, now, a recognized national and international IT business consultancy.
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