Even with repatriation cost savings, the value of cloud computing is still strong

37Signals, led by CTO David Heinemeier Hansson, implemented a cloud repatriation plan that has already saved them $1 million. Previously, the company spent $3.2 million annually on cloud services. They viewed that as being too much. Their repatriation project invested $600,000 in eight servers hosted by Deft. Hansson now projects that the plan can save $10 million over five years. That’s money they can put back into the business directly, investing in innovations and digital transformation projects. 

As a result, their cloud spending has decreased by 60%, going from around $180,000 to less than $80,000 per month. Hansson expects another significant drop in expenditures. Despite managing their hardware, the ops team size has stayed the same.

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