[HN Gopher] Cloud Egress Costs
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       Cloud Egress Costs
        
       Author : amzans
       Score  : 68 points
       Date   : 2024-02-10 09:55 UTC (13 hours ago)
        
 (HTM) web link (getdeploying.com)
 (TXT) w3m dump (getdeploying.com)
        
       | naiv wrote:
       | I think the overview is missing a column of what data is actually
       | allowed for 'free' egress.
       | 
       | Iirc eg Cloudflare does not allow videos etc. as part of their
       | free tier.
       | 
       | edit: confused ingress and egress
        
         | kkielhofner wrote:
         | We're talking about egress - traffic leaving the network. Due
         | to traffic patterns and other reasons (Hotel California)
         | ingress is always free, egress is charged.
         | 
         | There is some debate about the status of hosting video when
         | using Cloudflare as a CDN.
         | 
         | These comparisons are for hosts/object store.
         | 
         | Cloudflare R2 has no restrictions on the type of content while
         | not charging for egress.
        
           | naiv wrote:
           | sorry , I typed too fast and meant egress
        
         | asmor wrote:
         | Hetzner has seen two known cases of people being evicted for
         | bandwidth use, and they were saturating the link 24/7 for
         | several months by syncing an endless amount of footage to
         | archive.
        
       | dijit wrote:
       | For the google cloud one, is that the premium networking option
       | or the standard networking?
       | 
       | Those are very different, the standard network is more akin to
       | AWSs egress as GCPs Premium option (the default) uses local PoPs
       | and dark fibre over Googles backbone to origin.
        
       | bcaxis wrote:
       | Nice chart
       | 
       | Some vendors let you pool your egress that comes with the compute
       | you buy. Others do not. That can impact costs quite a bit.
        
         | rezonant wrote:
         | Right, Linode works this way for one.
        
       | jupp0r wrote:
       | I'm confused by that website using $/mo as the unit to describe
       | the cost of 1TB egress. How does the time component play into
       | this? I would have expected the cost to be described in $/TB.
        
         | mocamoca wrote:
         | I got confused too at first.
         | 
         | But it makes sense because the counters get reset each month.
         | 
         | So if you consume "101TB" over a year, distributed as 90TB in
         | January and then 1TB per month... You could get hit pretty hard
         | in January and have free bandwidth for the rest of the year.
        
         | amzans wrote:
         | Thanks, that makes sense. I'll update this so it's clearer.
        
       | mholt wrote:
       | This website is missing Wasabi [0], which has free egress. (Not
       | necessarily endorsing, just noticed.)
       | 
       | [0]: https://wasabi.com
        
         | asmor wrote:
         | heavily recommending against wasabi, they increased prices
         | recently and announced this via their newsletter, the one with
         | an unsubscribe button, and then blamed me for unsubscribing
         | (and never refunded the charge). highly unprofessional and a
         | lack of understanding of the GDPR for someone who is supposed
         | to hold all your data.
        
           | ijhuygft776 wrote:
           | Do a credit card charge back and unsubscribe from the
           | service...
        
         | naiv wrote:
         | They have free egress up to your data storage usage.
         | 
         | So if you use 1TB storage but 2TB egress , it will not be free
         | anymore.
        
           | mholt wrote:
           | Right; Backblaze has similar pricing as you can see on the
           | table.
        
       | PreInternet01 wrote:
       | The cost of egress traffic is a _very_ good reason for many
       | organizations to not fully migrate to a cloud provider anytime
       | soon. And since, unlike with storage costs, there doesn 't seem
       | to be an actual _reason_ (other than: it makes migrating to
       | competitors cost-prohibitive in a subset of cases), that seems
       | kind of... weird?
       | 
       | Small example: an actual company I do some work for is in the
       | business of delivering creative assets to distributors. This
       | results in an egress of around 180TB per month, which is, on
       | average just, around 500Mb/s.
       | 
       | So, this company currently operates 2 racks in commercial data
       | centers, linked via 10Gb/s Ethernet-over-DWDM, with 2x512Mb/s and
       | 1x1Gb/s Internet uplinks per DC. Each rack has 2 generic-OEM
       | servers with ~64 AMD Zen cores, 1/2TB RAM, ~8TB NVMe and ~100TB
       | SAS RAID6 storage per node.
       | 
       | Just the cost-savings over egress on AWS is enough to justify
       | that setup, including the cost of an engineer to keep it all up
       | and running (even though the effort required for that turns out
       | to be minimal).
       | 
       | So, are cloud providers ignoring a significant market here, or is
       | the markup on their current customers lucrative enough?
        
         | jonatron wrote:
         | The AWS Enterprise Discount Program apparently requires $1M per
         | year spend. 180TB is about $13k on AWS so presumably not enough
         | to be interesting to them. Hopefully someone who works at AWS
         | can share some info.
        
           | tky wrote:
           | EDP can be great if you can meet their required year over
           | year growth requirement and if your spend is high enough to
           | make the discounts (which are variable and negotiated often
           | at a product offering level, not blanket) offset the required
           | top-shelf support contract. For smaller orgs even at the
           | $1-2M/mo level, it can often be a risk not worth taking vs
           | other cost savings mechanisms and locating high-egress use
           | cases elsewhere.
           | 
           | Egress bandwidth pricing has been the sacred cow money
           | firehose forever, despite transit costs continuing to shrink.
        
         | asmor wrote:
         | It really depends on the quality of the peering you expect. It
         | doesn't matter, until it does. Consumer ISPs sometimes do their
         | utmost to not peer with open exchanges, and the entire thing
         | gets even more complex when you go to places where bandwidth is
         | more expensive (i.e. Oceania).
         | 
         | There's a reason the favorite chart to exemplify value
         | Cloudflare reps like to show is Argo Smart Routing, and why it
         | costs about $100 per TB just like AWS and GCP.
        
           | naiv wrote:
           | We are using Argo for our xhr search traffic as it makes more
           | sense than setting up different servers/vms in parts of the
           | world. Each request is only 1kb max.
           | 
           | But I would not use it for static assets. For this we use
           | Bunny edge storage to provide faster response times at very
           | reasonable prices.
        
           | Fripplebubby wrote:
           | I agree, and I would also put forward that most people don't
           | understand what peering is or how it works. When people
           | (usually developers who are not network engineers and have
           | not worked at that level of the stack) talk about "egress",
           | they mean delivering bits from your network (cloud or
           | otherwise) to any other network on the internet. How can you
           | put just one price on delivering a bit either to a host
           | within the same datacenter or one on the opposite side of the
           | planet? Physics still mean that one is more expensive than
           | the other.
           | 
           | The existence of the world wide web has tricked us into
           | thinking that sending traffic anywhere is/should be the same,
           | but of course it is not. So while the price you (a cloud
           | customer) pay for egress pricing is (often) indiscriminate on
           | where that traffic is going, using common sense, we can
           | understand that some traffic is more expensive than others,
           | and the price we pay is a blended price with that aspect
           | "baked in" or "priced in".
        
         | toast0 wrote:
         | My feeling is that egress is easily measured, so it's where
         | costs that are hard to assess get moved to.
         | 
         | It doesn't feel great to be line item billed for stuff at 10x
         | the rate of credible other offers.
         | 
         | I think there is also some geo-specific pricing that gets
         | hidden in a global price; bandwidth can be a lot more expensive
         | in some locations than others and if you are charged 5x for
         | egress in south america, nobody will use the south america
         | locations and that's not good for business.
        
           | raid2000 wrote:
           | Right. Egress is an imperfect, but reasonable metric for
           | overall utilization. If they started charging for CPU hertz
           | above a certain threshold, that'd be a harder sell.
        
           | amluto wrote:
           | I don't believe this. Operating an internal cloud network is
           | _expensive_ , but it's expensive because of internal traffic,
           | and they don't charge for that internal traffic. Egress is
           | just like traffic to any other system, and AWS doesn't charge
           | for that.
           | 
           | Also:
           | 
           | > It doesn't feel great to be line item billed for stuff at
           | 10x the rate of credible other offers.
           | 
           | It's quite a bit worse than 10x
        
         | thimp wrote:
         | I saw a hilarious fuck up a few months ago. Company sets up an
         | AWS hosted always on VPN solution. Connects 1000 staff through
         | it. Celebrates how they saved $50k on the VPN solution. Gets
         | $25k AWS bill for the just the first month of egress traffic.
         | Turns out the data was leaving AWS egress three separate times.
        
           | ailurooo wrote:
           | how were they spending that 50k previously? a bespoke saas
           | thing or self hosting?
        
         | ozr wrote:
         | Definitely lucrative enough. The use case you've described
         | isn't particularly uncommon, but lots of companies just pay for
         | the egress.
         | 
         | The problem is that there are now multiple generations of
         | software engineers that do not know how bandwidth is priced.
         | They've only used managed providers that charge per unit of
         | ingress/egress, at some fractional dollar per GB.
        
           | api wrote:
           | I've had people refuse to believe that bandwidth is actually
           | very cheap and cloud markup is insane (hundreds or even
           | thousands of times cost).
           | 
           | I show them bare metal providers and colo that bills by size
           | of pipe rather than transfer. They refuse to believe it or
           | assume there must be a catch. There usually isn't, though
           | sometimes the very cheapest skimp on things like rich peering
           | and can be slightly slower or less reliable. But still
           | cheapest is relative here. Expensive bare metal or colo
           | bandwidth is still usually hundreds of times less than big
           | three cloud egress.
           | 
           | It's just nuts.
           | 
           | It's a subset of a wider problem of multiple generations of
           | developers being fully brainwashed by "cloud native" in lots
           | of ways. What an amazing racket this all has been for
           | providers...
        
         | amluto wrote:
         | > other than: it makes migrating to competitors cost-
         | prohibitive in a subset of cases
         | 
         | My theory: it forces third party services into the same cloud.
         | 
         | Suppose you use AWS and you want to pay a third party SaaS
         | provider for some service involving moderate-to-large amounts
         | of data. Here's one of many examples:
         | 
         | https://www.snowflake.com/en/data-cloud/pricing-options/
         | 
         | And look at this remarkable choice: you get to pick AWS, Azure,
         | or GCP! Snowflake is paying a _lot_ of money to host on those
         | clouds, and they're passing those costs on to customers.
         | 
         | Snowflake is big. They have lots of engineers. They are
         | obviously cloud-agnostic: they already support three clouds. It
         | would surely be _much_ cheaper to operate a physical facility,
         | and they could plausibly offer better performance (because NVMe
         | is amazing), and they could split the cost savings with
         | customers. But they don't, and my theory is that egress from
         | customers to Snowflake would negate any cost savings, and the
         | _variable_ nature of the costs would scare away customers.
         | 
         | So my theory is that the ways that customers _avoid_ egress
         | fees makes the major clouds a lot of money. IMO regulators
         | should take a very careful look at this, but it's an excellent
         | business decision on the parts of the clouds.
        
           | Eridrus wrote:
           | Snowflake's margins are like 90%+ on top of the compute they
           | sell, and they pass on all these costs including egress
           | directly to customers.
        
             | amluto wrote:
             | Their list price for storage capacity is only on the order
             | of 2x what S3 charges, and Snowflake and S3 likely both
             | offer discounts. Comparing compute costs is harder.
             | 
             | If I were running a service like Snowflake, I would
             | certainly appreciate the effortless scaling that the major
             | clouds offer. But I also know what I pay for actual servers
             | and roughly what I would pay in a major cloud, and I much
             | prefer the former.
        
               | Eridrus wrote:
               | Yeah, storage is much more competitive, but there have
               | been leaks on what hardware they run on, their margins
               | are incredible, which makes sense since they are selling
               | software, not hardware!
               | 
               | Anyway, there is an explicit egress charge:
               | https://docs.snowflake.com/en/user-guide/cost-
               | understanding-...
        
               | dalyons wrote:
               | tbf, snowflakes whole thing & what makes them "next gen"
               | vs a traditional datawarehouse is that you dont may much
               | for data at rest. You pay as little as possible for the
               | "warehousing" part, and pay mostly/only for
               | compute/querying.
        
             | api wrote:
             | "Let's get rid of IT and stop using on prem software.
             | Outsource it all to the cloud and SaaS. We'll save so much
             | money!" ... said the entire world pretty much ...
             | 
             | This is hilarious.
             | 
             | I told you so. So did loads of others. Oh well.
        
         | kansi wrote:
         | Are you able to share which provider do they use for their rack
         | setup?
        
         | xyst wrote:
         | just 1 engineer? lol. Let's hope it's not business critical for
         | the servers to be up and running at all times if you only need
         | 1 engineer.
        
       | amenghra wrote:
       | _some cloud providers offer a certain amount of free egress each
       | month, while others charge a flat fee for egress over a certain
       | amount_ I parse this sentance as saying the same thing twice.
        
       | mocamoca wrote:
       | OVHCloud is free https://us.ovhcloud.com/public-cloud/faq/
       | 
       | As a data company we really benefit from Scaleway, Hetzner and
       | Ovh.
       | 
       | However, Scale way has no plans to add an US infra
       | 
       | And I don't know if Hetzner has US presence?
        
         | reaperman wrote:
         | Hetzner has a limited US presence for VM products but not
         | baremetal/dedicated solutions.
        
         | raid2000 wrote:
         | European providers benefit from lower cross-connect fees in
         | datacenters and more internet exchanges for easy peering. It's
         | not surprising they offer more bandwidth at the same cost.
        
       | teamspirit wrote:
       | Isn't this what makes cloudflare's R2 a great proposition? No
       | egress costs with very competitive storage and operation pricing.
       | 
       | It's not as mature as the others, I don't believe you can use
       | your own encryption key for example, but why would anyone
       | starting out not choose R2? Hopefully they push the market in
       | their direction.
        
         | shdh wrote:
         | R2 works great from my experience, no egress costs are a huge
         | sell.
        
         | l5870uoo9y wrote:
         | I offloaded all heavy files (videos and GIFs) to R2 and serve
         | them on my web app. I reckon I save at least $240/yearly
         | (12*$20) compared to serving them through Vercel. I didn't
         | expect mere static files being such a cost factor.
        
         | rezonant wrote:
         | R2 is an insane value proposition. We calculated the cost of
         | moving HLS video delivery to it and unless you are delivering a
         | huge amount of traffic, the costs are far lower. Highly
         | recommend you consider it, assuming you are willing/able to
         | handle appropriate transcoding yourself (if not, Cloudflare has
         | it's Stream product)
        
           | deskamess wrote:
           | What is 'appropriate transcoding'?
        
       | shdh wrote:
       | CloudFlare is great
        
         | ijhuygft776 wrote:
         | not in this universe
        
       | geor9e wrote:
       | I had no idea it was this crazy expensive. I can host a 1 TB
       | folder of movies on my Google Fiber internet Synology NAS
       | website, and let my friend download it for free. But if I hosted
       | my website on Google Cloud, they bill me $111.60? How are these
       | cloud services getting away with this pricing?
        
         | jeffbee wrote:
         | Your little NAS is not directly connected to hundreds of metro
         | areas around the globe. Even on Google Fiber, which is an
         | excellent network, you only have a few dozen points of
         | exchange, all in America. As a Google Cloud customer your
         | egress traffic will be on Google's network all the way to the
         | very edges of the world, at hundreds of interconnect points and
         | exchanges. Your traffic will be on private networks until it is
         | with a few miles of your end user, in all likelihood. This is a
         | comparison between apples and diamonds.
        
           | veeti wrote:
           | Except they will charge you the same extortionate egress fees
           | for outbound traffic from a single compute instance ("an
           | apple"), no global content delivery network involved ("a
           | diamond").
        
             | wrs wrote:
             | [delayed]
        
         | dehrmann wrote:
         | > let my friend download it for free
         | 
         | Except you paid the cost for the fiber connection. You also get
         | one more 9 of reliability from their DC.
        
       | cj wrote:
       | > Cloudflare -- Free
       | 
       | Perhaps on self-serve plans with insignificant traffic. On
       | enterprise plans they do set bandwidth caps. Our company exceeded
       | our bandwidth cap and our account rep reached out to reprice our
       | contract.
       | 
       | I asked him if turning off Argo (a service billed by bandwidth)
       | would remove the bandwidth overage and they said no.
       | 
       | TlDR: Cloudflare bandwidth isn't free at the enterprise tier.
        
         | rezonant wrote:
         | Cloudflare's enterprise offerings are bizarre. We went through
         | the process to get it priced out and it made no sense for us. I
         | could see how some of the features would be worth it for some
         | businesses, but not for us.
        
         | naiv wrote:
         | I assume they internally have different quality levels of
         | traffic so Enterprise would get better (and more expensive)
         | routing?
        
         | tootie wrote:
         | Their cap is very high though. 1TB/mo would cover a lot of
         | small to mid-size businesses depending on their use case.
        
       | thepaulmcbride wrote:
       | Offt, not a good look for Railway, Render or Vercel!
        
         | paulgb wrote:
         | I'm a fan of all three, but my mindset is that I'm not just
         | paying for raw infrastructure, I'm paying for the engineering
         | work I don't have to do when I use them.
        
       | charcircuit wrote:
       | AWS's egress needs to decrease by 100x before it will make sense
       | for me to use them.
        
       | jintrosartro wrote:
       | Isn't GCP egress also free by now?
       | https://cloud.google.com/blog/products/networking/eliminatin...
        
         | clhodapp wrote:
         | That's probably how they wanted you to read it, but in fact
         | it's only free if you are transferring it out and shutting down
         | your account
        
         | lolinder wrote:
         | That seems to be specifically about the transfer fees that kick
         | in when you're leaving GCP. It looks like there's an
         | application process to get the free egress for moving off the
         | cloud, so they haven't just done away with egress costs
         | altogether.
         | 
         | This article is about egress costs for just operating a service
         | that talks to the outside world, not just when migrating data
         | to a new service.
        
       | web3-is-a-scam wrote:
       | AWS egress is one of if not the biggest costs on our bill, it's
       | downright criminal.
        
       | njitbew wrote:
       | Oracle Cloud only charges a fraction of want Google, Microsoft,
       | and Amazon charge. Any idea how Oracle is able to keep the cost
       | so low? Or are the others just inflating the price so customers
       | don't move to the competitor? In that case Oracle deserves a
       | shout out for not applying these vendor lock-in practices.
        
         | andersa wrote:
         | The large providers are overcharging between 10 and 100x on
         | egress. Cloudflare has a blog on it somewhere.
        
         | vlovich123 wrote:
         | Egress prices have insane levels of markup.
        
         | suyash wrote:
         | Other are just charging what they are because people are too
         | stupid to complain and will just pay.
        
       | Scubabear68 wrote:
       | The article says " Cloud providers charge for egress because it
       | costs them money to send data out of their network. They have to
       | pay for the infrastructure and bandwidth required to send data to
       | users".
       | 
       | The charge is not based on cost in the case of the big names.
       | They charge an arm and a leg because they want to keep you and
       | your data on their platform. When you move it you are breaking
       | free.
       | 
       | Hence the high costs to deter this behavior.
        
       | zokier wrote:
       | [delayed]
        
       | cheema33 wrote:
       | We have used OVH for years. We were on MS Azure before that.
       | Getting nickled and dimed for every little thing drove us away.
       | Zero regrets.
        
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       (page generated 2024-02-10 23:00 UTC)