In this article I compare the costs of network bandwidth transferred out of Amazon EC2, Google Cloud Platform, Microsoft Azure and Amazon Lightsail.
Bandwidth costs are one of the most ridiculously expensive components of cloud computing, and there are some serious inconsistencies in the industry, especially with Amazon.
First let’s take a look at two alternative bandwidth sources:
Alternative 1 – Colocation in a Data Center
100Mbps (32.85 TB / Month) @ $950 = $ 28.91 per TB or $0.028 per GB / month
About $0.03 per GB transfer is a typical price you’ll pay at a colocation facility for 100Mbps commitment per month without any negotiation, and it’s very easy to get.
Alternative 2 – Google Fiber for Business
1000Mps (328.5 TB / Month) @ $250 = $0.76 per TB or $0.00076 per GB / month
This is a glimpse into the future of bandwidth pricing and it’s available in about 27 regions in the U.S. – great if you can get it but not everyone can.
1TB / month is $88.65 or $0.09 per GB
This is where things get ugly, that’s 3x higher cost than a colocation facility and 116x higher than Google Fiber.
Google Cloud Platform
1TB / month is $122.88 or $0.12 per GB
This is a real WTF moment, I can’t even comprehend how it’s possible for Google to price their bandwidth this high. It’s 4x higher cost than colocation, and 162x higher than its own Google Fiber service.
Something is really amiss here given Google’s global reach, existing infrastructure and buying power, Azure’s pricing is ugly but Google’s is much worse.
1TB / month is $90 or $0.09 per GB
Again 3x higher cost than colocation, and 116x higher than Google Fiber, and if you have data coming in they charge you another $10 per month, making it $0.10 per GB.
2TB / month is $10 or $0.005 per GB
At first glance this looks great but it’s the one that really annoys me the most because it’s a giant “screw you” to Amazon’s EC2 customers that are paying 18x more for their bandwidth pricing on the first 2TB.
Amazon Lightsail is giving 2TB away free to their $10 / month plan Lightsail customers, yet they only give 1GB away free per month to their loyal EC2 customers.
Anyone that is running up to 5 t2.micro servers in EC2 and uses pretty much any amount of bandwidth should immediately switch to Lightsail unless they have some compelling reason not to, and I can’t imagine what that compelling reason might be because Lightsail instances can connect with other AWS services.
In fact, it doesn’t really matter what instance size you have. You should just use Lightsail instances as Internet facing routers and put Cloudflare in front of them, you can have up to 5 Lightsail instances per account.
For $50 / month you can get 10TB of outbound traffic @ $0.005 per GB.
Amazon EC2, Microsoft Azure and Google Gloud Platform are all seriously screwing their customers over when it comes to bandwidth charges.
Every one of the big three has massive buying power yet between them their average bandwidth price is 3.4x higher than colocation facilities.
If you move a significant amount of data you should think twice before moving to the cloud, these bandwidth prices are truly ridiculous and there’s no way they can be justified when compared to colocation facilities.
Want to disrupt the cloud computing industry? Give bandwidth away at cost.