In a world where cloud services have become essential for business growth and innovation, efficient cost management presents a constant challenge. As companies expand their digital infrastructure, cloud waste—underutilized or unused resources that still incur costs—has become a critical issue. In response to this trend, Akamai has achieved an impressive 40% reduction in its public cloud bills, thanks to its Project Cirrus initiative, focused on optimizing spending and eliminating unnecessary resource usage.
A Strategic Approach to Reducing Cloud Waste
Akamai, a pioneer in identifying the growing problem of cloud waste, found that its cloud service-related costs were growing at an unsustainable rate. To counteract this situation, the company implemented a series of strategies based on a hybrid design that allowed them to identify and reduce inefficient resource usage.
Automating and right-sizing instances
One of the main tactics employed was automating resource management. By using automated tools, Akamai was able to monitor and adjust cloud resources in real time, ensuring they were sized correctly according to each application’s needs. This process, known as “right-sizing,” led to a reduction of up to 40% in cloud waste by dynamically adjusting capacity to real demands.
Strategic use of reserved instances
Another key to Akamai’s success was the strategic use of Reserved Instances (RIs). Unlike the more expensive and unpredictable pay-as-you-go model, RIs offer lower and more stable prices. Akamai took advantage of these discounts by planning and reserving cloud capacity in advance, resulting in savings of up to 75% compared to on-demand prices.
Continuous monitoring and optimization
To ensure cost reduction was not a temporary solution, Akamai implemented a constant tracking system that monitors cloud usage and costs. This constant monitoring allowed them to quickly identify inefficiencies and correct them, preventing cloud waste recurrence.
Lessons and Best Practices for Cloud Cost Management
Akamai’s success in reducing cloud costs by 40% offers a valuable lesson for other companies facing similar issues. Automation, dynamic resource adjustment, and strategic use of Reserved Instances proved to be essential tools for gaining greater cost control and eliminating inefficient resource usage.
In an environment where public cloud costs can easily skyrocket, adopting a proactive approach to managing cloud waste is not only a smart decision but also a necessary step to ensure long-term sustainability and growth.
For more details on how Akamai achieved these results, you can read the full whitepaper on their website.