Mike Austin says companies waste 50-80% of cloud storage spending by over-provisioning to prevent outages, yet still experience roughly one downtime per quarter from full disks. One team provisioned 1 TB but used only 200 GB.
Questions this video answers
Using ~200 GB while 1 TB was provisioned (about 25% utilization).
Approximately 50–80% of dollars paid to hyperscalers is wasted.
About one downtime per quarter.
Chapters
And the reality is that most organizations, like I said, are over provisioning storage. So they're using 200 gigabytes in this example, but you know, they've, I don't know where the 1 TB went, but they provisioned 1 TB and they're at 25% utilization. Right. And so what we're seeing as we've analyzed numerous storage bills is that 50 to 80% of the dollars that you're giving these hyperscalers is wasted. Right. And the, the reason, and in, in spite of that, what ends up happening is the reason that this over provisioning is there is, like I said a couple seconds ago, is that you don't want to have outages. So if a disk hits full capacity, you're going to have outages. And so people over provision, they're buying more storage than need so that they don't have outages. And yet despite that, most organizations, there's studies out there that states that there's one downtime per quarter when disk runs out of space in, in most organizations. So you can kind of see what ends up happening is people are provision, you know, storage is going all over the place, depending on what's going on at that time of the month and stuff and you know, your, your doctor strategies and things like that. So they're provisioning more, but they still hit these peaks where, you know, they run out of storage and the disk ends up, you know, the server ends up going down and they have outages, unexpected outages, which is, you know, not good on the operations teams.