37signals is completing its on-prem move, deleting its AWS account to save millions
37signals, the company behind Basecamp and HEY, is finalising its transition from cloud services, particularly AWS, to on-premises storage systems in a bold move aimed at saving millions. With this shift, they anticipate a yearly cost reduction by approximately $1.3 million (£980,000), allowing them to bid farewell to hefty AWS charges.
Key Points
- 37signals plans to delete its AWS account, ceasing costs of around $1.5 million/year related to S3 hosting.
- The company has already saved $2 million/year by moving compute tasks off AWS to on-prem Dell servers.
- After spending $1.5 million on storage solutions from Pure Storage, operation costs are expected to fall to less than $200,000 annually.
- CTO David Heinemeier Hansson criticises the notion that cloud infrastructure is the only viable option, pointing to the true expenses associated with it.
Why should I read this?
If you’re even mildly interested in the ongoing conversation about cloud vs. on-prem solutions, this article is pure gold. 37signals’ strategic shift not only illustrates a growing trend among companies reevaluating their cloud reliance but also opens up an intriguing debate about cost efficiency. You’ll want to know what’s happening in this space, especially as more firms consider similar moves.