Total Cost of Ownership (TCO) Calculator
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In this lesson, you'll use the Total Cost of Ownership (TCO) Calculator to compare the cost of running a sample workload in your datacenter versus on Azure. This will help you understand the potential cost savings and the transition from a fixed cost structure to an ongoing monthly cost structure in the cloud.
Scenario
You are considering moving some on-premises workloads to the cloud and need to evaluate the potential cost savings over the next three years. The goal is to include all potential hidden costs of operating on-premises and in the cloud. The TCO Calculator will serve as a starting point for this analysis.
Let's say that:
The TCO Calculator involves three steps: defining your workloads, adjusting assumptions, and viewing the report.
Step 1: Define Your Workloads
Enter the specifications of your on-premises infrastructure into the TCO Calculator.
Step 2: Adjust Assumptions
Specify your currency and adjust any cost assumptions to match your current on-premises environment.
Step 3: View the Report
Review the generated report to analyze cost savings for your datacenter over the next three years.
Scroll to the summary at the bottom to see a comparison of running your workloads in the datacenter versus on Azure.
Great work! You now have a detailed cost comparison that you can share with your Chief Financial Officer. If you need to make adjustments, you can revisit the TCO Calculator to generate a new report.
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