Cloud enable you to trade CAPEX for OPEX



What is CAPEX?
Capital expenditure or capital expense (CAPEX) is the money an organization spends to buy, maintain, or improve its fixed assets, such as buildings, vehicles, equipment, or land for long term goal.

What is OPEX?
Operational expenditure or OPEX is an ongoing cost for running a product, business, or system.


How cloud enable you to trade CAPEX for OPEX?
Instead of having its own land, building, vehicles or equipment and investing heavily in all these capital expenditure, in the cloud, you can only pay when you consume resources and pay only for how much you consume, there is no need to wait for new capital to be ready for your small POC or RND. Just spend few hundreds of $ and test your RND project with on demand and very less risks.


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6 comments:

  1. Yes, now these day no need to expend money in CAPEX as we have so many cloud provider like AWS and OCI or other cloud which will very less price and do and without any more thinking.

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  2. Great Article
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