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Cloud spending is overtaking traditional IT hardware, but teams still struggle to control the growing cloud costs. Companies go over their cloud budgets by an average of 13% and waste 32% of their total cloud spend.
A major driver of waste is the inability to scale back once application demand drops. Our data shows that by eliminating overprovisioning, organizations stand to reduce their monthly cloud spend by almost 50%. By adding spot instances to the mix, they can cut cloud expenses by 60% on average. These numbers are similar across the three major cloud providers and don’t depend on the application size, indicating that the overprovisioning problem is universal.
This report shows the current state of cloud cost management for Kubernetes and shares proven cost optimization practices. Examples include gaining real-time visibility into costs, improving cloud resource utilization, and using spot instances.