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Colocation vs. cloud: SEO firm finds cloud to be cost prohibitive for its high density computing



April 05, 2023 at 12:01AM

A software firm in Singapore claims it would cost more than $400 million over three years if it were to migrate from its existing colocation setup and move its workloads to the Amazon Web Services (AWS) cloud. Notably, the firm runs a very compute-intensive environment, and high density computing can be very expensive to duplicate in cloud environments.

Ahrefs, which develops search engine optimization tools, made the $400 million claim in a March 9 blog post by one of the company’s data center operations executives, Efim Mirochnik. Mirochnik compared the cost of acquiring and running its 850 Dell servers in a colocation provider’s data center with the cost of running a similar configuration in AWS.

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