Amazon Web Services (AWS) not only provides impressive storage, distribution, hosting and computing solutions for Web developers, but this Amazon subsidiary also offers remarkable pricing that has never before been seen. So, how does a company do much better than this? Well, how about offering even cheaper prices?
AWS' New Pricing Structure
Amazon, why have you decided to lower the prices all of the sudden?
"With scale, as we get larger, we're able to aggregate the usage of all our customers and get volume discounts from our suppliers and pass on these savings along to our customers," said Alyssa Henry, S3 general manager. Unfortunately, she forgot to mention that not "all" of their customers will benefit. Taking a quick glance at the new pricing structure will reveal why:
United States Customers
Currently, U.S. customers are charged US$ 0.15 per gigabyte per month of storage used on S3. Soon, a 4-tier pricing structure will be available that benefits power users:
* $US 0.15/gigabyte for the first 50 terabytes of storage (up to 50 terabytes)
* $US 0.14/gigabyte for the next 50 terabytes of storage (50 - 100 terabytes)
* $US 0.13/gigabyte for the next 400 terabytes of storage (100 - 500 terabytes)
* $US 0.12/gigabyte for beyond 500 terabytes of usage (beyond 500 terabytes)
In Europe, AWS currently charges $US 0.18 per gigabyte pre month of storage. The new pricing structure is similar to the U.S. pricing structure, but the slight increase in cost remains:
* $US 0.18/gigabyte for the first 50 terabytes of storage (up to 50 terabytes)
* $US 0.17/gigabyte for the next 50 terabytes of storage (50 - 100 terabytes)
* $US 0.16/gigabyte for the next 400 terabytes of storage (100 - 500 terabytes)
* $US 0.15/gigabyte for beyond 500 terabytes of usage (beyond 500 terabytes)
Data transfer costs for both U.S. and Europe remain the same, as they were recently reduced.
Obviously, only AmazonAWS customers who store more than 50 terabytes of data per month will actually benefit. This move was aimed at the enterprises of the world. This means that your typical average Joe gains nothing here.
Oh well. Perhaps the announcement of Microsoft's future "cloud OS" has convinced AWS to get aggressive in their pricing.