Brian Austin

November 13, 2023

Rushing for the Cloud Exits is Probably Premature

Move your SaaS out of the cloud, are you crazy?  That's exactly what David Heinemeier Hansson (DHH) says saved 37Signals a lot of money. But hold on.. 
  
Moving out of the cloud might be a good fit for some companies, but not everyone. Forrest Brazeal has an intriguing rebuttal in his Good Tech Things newsletter that includes this chart. I think he adeptly says it as: "..just like not every company runs at Google scale, not every company has the competence (high) or growth aspirations (low) of 37signals". 
  

cloud-maturity-vs-growth.png


As Forest points out it's about the tradeoff between growth and talent. Even DHH states that part of the reason data centers work for 37Signals is because demand is pretty linear. Alternatively, if you are growing exponentially the cost in time and money of racking new servers might be untenable.  
  
Likewise, if you have fewer or less experienced engineers paying for managed services might make sense. Conversely if you are pushing the envelope and inventing technology you probably have the talent pool to manage a high growth cloud model. Size also matters, at smaller scale it makes sense to augment a DevOps team with managed services. 
  
At the end of the day the answer is always "it depends" and there is not one size that fits all solutions.  Do what is right for your organization and make it work. 

About Brian Austin

A software engineer building products and services for smaller companies. This newsletter syndicates all of my LinkedIn content.

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