Or suppose you run the most successful/profitable Fantasy Sports League start-up on the internet (used to work for 'em) and host your own gear. Every year you have to analyze trends in use and predict future load, to build the capital needed to buy all new racks of servers every 2-3 years, pay for all the IT staff, datacenter costs.
That was before the cloud existed. They had to poach experts from hosting companies to build and maintain their gear. They built a 24/7 NOC, did server repair, became network experts, storage experts, database experts. Besides being incredibly complex and burdensome, it was financially risky. If they missed their projections they could over-invest by 1-2 million bucks, or even worse, not have the capacity needed to meet demand.
If somebody told us back then that we could pay a premium to be able to scale at any time as much as we needed, when we needed it? We would have flipped out. We had heard about Amazon building some kind of "grid computing" thing, but it seemed like a pipe dream for universities, like parallel computing. Turns out it was a different kind of grid.
That was before the cloud existed. They had to poach experts from hosting companies to build and maintain their gear. They built a 24/7 NOC, did server repair, became network experts, storage experts, database experts. Besides being incredibly complex and burdensome, it was financially risky. If they missed their projections they could over-invest by 1-2 million bucks, or even worse, not have the capacity needed to meet demand.
If somebody told us back then that we could pay a premium to be able to scale at any time as much as we needed, when we needed it? We would have flipped out. We had heard about Amazon building some kind of "grid computing" thing, but it seemed like a pipe dream for universities, like parallel computing. Turns out it was a different kind of grid.