Tim Banks (@elchefe, Principal Cloud Economist @duckbillgroup) talks about how public cloud providers are offering committed spend programs, and ways to best use their programs to manage cloud spending.

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Topic 1 - Welcome to the show. You’ve got a very interesting background of hands-on technical and being on the business side of things. Tell us a little bit about your background and what you focus on at Duckbill Group.

Topic 2 - Let’s start by talking about this trend of long-term cloud contracts. Why are we seeing more and more announced, and who does it seem to benefit more (cloud provider or customer)?

Topic 2a - How do companies typically size these deals? Is it some percentage of current spend forecasted forward, or some aspirational goal, or something else?

Topic 3 - When a company signs up for one of these long-term committed spend contracts, what are the mechanics of the contract? Is it just “all-you-can-eat” technology, or do they tend to include additional capabilities/services, etc?

Topic 4 - What have you found to be the behavior of companies that sign these contracts? Does it lead to more projects getting created, or more experimentation, or any other unintended consequences?

Topic 5 - At what point do companies start re-evaluating the contracts? What happens if they find themselves way below expected spending expectations?

Topic 6 - Have you seen any new behaviors from the cloud providers once they sign a contract, whereas one group (or service) is pushing hard to capture a bigger portion of the contract?

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Understanding & Managing Committed Cloud Spend 34:40 Share

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Understanding & Managing Committed Cloud Spend