Alibaba Cloud has made significant price cuts for those willing to use its datacenters in mainland China and commit to multi-year deals.
The Chinese giant has detailed [in Chinese] price reductions of up to 36 percent for some instance types in its Elastic Compute Service (ECS).
Object storage prices can fall 55 percent under some deals, helped by the extension of Alibaba Cloud's reserved capacity terms from one year to between two and five years.
Database as a service costs have also been reduced, by up to 40 percent.
A free traffic allowance has been increased from 10 to 20 gigabytes.
The Register understands Alibaba hopes to win more customers in mainland China, and to encourage local businesses to adopt cloud and consider AI.
Alibaba Cloud customers outside mainland China are welcome to use the lower prices. The Register expects a decision to do so will only come after very close consideration of Chinese data protection and security laws, as few orgs are comfortable storing sensitive data offshore never mind in a famously complex jurisdiction like the People's Republic.
The discounts were announced weeks after Alibaba Cloud revealed that its growth had stalled, other than among Alibaba Group companies. The hyperscaler also sought to slough off low-margin contract-based customers.
Those challenges put into perspective the discounts for long-term commitment to the Alibaba Cloud customers that sign up for the deals could help the hyperscaler address both of its problems.
Alibaba Cloud is not alone in trying to make long-term commitments attractive. The likes of Azure and AWS have made reserved capacity the cheapest way to consume their services a tactic that makes sense as it allows them to more predictably cover the costs of their infrastructure. Alibaba would understand that aspect of cloud economics, and almost certainly employs the finance wonks capable of modelling them for its own business.
That it has reached similar conclusions about how best to price its cloud using long deals is therefore no surprise especially for an organization whose cloudy thinking has so often reached the same conclusions as its Western rivals.
Originally posted here:
Alibaba Cloud cuts prices, hard, for multi-year commitments - The Register
- Open source cloud computing slow to catch on, survey finds [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Oracle CFO: no acquisitions needed to compete in cloud [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- IDC Survey: U.S. Corporations Aim to Tackle IT Challenges with Cloud Computing [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Where does the ICO's new cloud guidance take you? [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- ChinaSoft International Signs Strategic Cooperation Agreement with Alibaba Cloud Computing to Develop PaaS Platform [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- IT Leaders Forum: Shedding light on cloud computing [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Oracle Public Cloud Computing [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Oracle Cloud Computing - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Cloud Computing 101 - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Lenovo Gets Into Cloud Computing - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Cloud Computing Certification Training | Cloud Computing Training By Simplilearn - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Cloud Computing - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Succeeding or Failing with Cloud Computing - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Demystifying the Cloud - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- N: Cloud Computing, Syria PM Defects, US to Clean Agent Orange and MORE! - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Cloud Computing - Tv9 - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- AWS 101 Cloud Computing Seminar-Bangalore - Video [Last Updated On: October 5th, 2012] [Originally Added On: October 5th, 2012]
- Trust - The Key to Cloud Computing Growth in Europe [Last Updated On: October 6th, 2012] [Originally Added On: October 6th, 2012]
- Cloud Computing Saves Health Care Industry Time And Money [Last Updated On: October 6th, 2012] [Originally Added On: October 6th, 2012]
- Synnex CEO Kevin Murai: Tablets, Mobile, Cloud Computing (p3) - Video [Last Updated On: October 6th, 2012] [Originally Added On: October 6th, 2012]
- Enterprise computing IS the cloud [Last Updated On: October 8th, 2012] [Originally Added On: October 8th, 2012]
- 44 Percent Of US Execs To Tackle IT Challenges Through Cloud [Last Updated On: October 8th, 2012] [Originally Added On: October 8th, 2012]
- ZapThink Announces Expansion of Cloud Computing for Architects Course [Last Updated On: October 9th, 2012] [Originally Added On: October 9th, 2012]
- Euro Zone Eyes Cloud Computing to Kick Start Economy [Last Updated On: October 9th, 2012] [Originally Added On: October 9th, 2012]
- Advantages, challenges of cloud computing discussed Oct. 10 at NJIT [Last Updated On: October 10th, 2012] [Originally Added On: October 10th, 2012]
- Dell Expands Cloud Client Computing Solutions for VMware View®, Desktop as a Service and Channel Offerings to Europe [Last Updated On: October 10th, 2012] [Originally Added On: October 10th, 2012]
- Cloud West to Focus on Entertainment Delivery, Network Infrastructure, and Investment, More at Nov. 8-9th Forum [Last Updated On: October 10th, 2012] [Originally Added On: October 10th, 2012]
- IBM, AT&T Offer Secure Passage to the Cloud [Last Updated On: October 11th, 2012] [Originally Added On: October 11th, 2012]
- Cloud computing company hits new fundraising heights [Last Updated On: October 11th, 2012] [Originally Added On: October 11th, 2012]
- Cloud computing firm hits new fundraising heights [Last Updated On: October 11th, 2012] [Originally Added On: October 11th, 2012]
- Cloud computing: here we go again [Last Updated On: October 11th, 2012] [Originally Added On: October 11th, 2012]
- Chinese Want to Put Computer 'Brains' in the Cloud [Last Updated On: October 11th, 2012] [Originally Added On: October 11th, 2012]
- CenturyLink Unveils Cloud Product [Last Updated On: October 12th, 2012] [Originally Added On: October 12th, 2012]
- Cloud Security Evolves in Wellington [Last Updated On: October 14th, 2012] [Originally Added On: October 14th, 2012]
- 2X ApplicationServer XG Joins the Intel AppUp SMB Service Hybrid Cloud [Last Updated On: October 15th, 2012] [Originally Added On: October 15th, 2012]
- Piston Cloud to Exhibit and Present at the 2012 OpenStack Summit in San Diego [Last Updated On: October 15th, 2012] [Originally Added On: October 15th, 2012]
- How to get your first cloud computing job [Last Updated On: October 15th, 2012] [Originally Added On: October 15th, 2012]
- DreamHost Adds Public Cloud Computing Service: DreamCompute [Last Updated On: October 15th, 2012] [Originally Added On: October 15th, 2012]
- Aryaka Receives 2012 Cloud Computing Excellence Award [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- Making a Europe fit for the cloud [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- Cisco Execs Plumb The Limits Of Cloud Computing [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- Cloud firm invests in new network [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- AirWatch Receives 2012 Cloud Computing Excellence Award [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- Dell Extends Cloud Client Computing Portfolio with New Solutions Validated by Citrix [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- Pano Logic and Alliance InfoSystems Join Forces to Deliver Zero Client Computing [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- 5 Cloud Business Benefits [Last Updated On: October 17th, 2012] [Originally Added On: October 17th, 2012]
- Alteva Receives 2012 Cloud Computing Excellence Award [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Open Text profit beats estimates on cloud services [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Cloud computing improves nurse call system [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Cloud computing: Top five tax considerations for your business [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- OKI and ISID to Provide Chemical Information System as Cloud Computing Services [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- As Mobile Grows, So Does Cloud Computing [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- IBM Analytical Decision Management SaaS - IBM Cloud TechTalk October 2012 - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- JAX London 2012: Achieving genuine elastic multitenancy with Waratek Cloud VM for Java - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Microsoft 2020 technology future vision - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Infinity Cloud Point of Sale and Complete Retail Suite.mp4 - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Small Business IT Support, Computer Support, Web Design Atlanta - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Cloud Computing - Simplified - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- How Allied Valve Used the Cloud to Expand in Bakken Oilfield - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Cloud Computing in the Public Sector - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Cloud Computing | Sacramento | Data Protection | IT Consulting | Symmetry Managed Servces - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- The Business Value of Cloud Computing - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- GYMNAZO Owner/Coach Michael Hughes is excited about edufii - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Automation in the age of cloud computing - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Cloud Computing.mp4 - Video [Last Updated On: November 1st, 2012] [Originally Added On: November 1st, 2012]
- Cloud computing in 2013: a conversation with Appcore's CEO [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Cloud adoption growing in India: study [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Eastday-Microsoft picks city for cloud computing [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Towards a blue sky: How SMEs can avoid Cloud Computing confusion [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Consultancy Services - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Axxis Solutions Sponsors FIBA Technical Seminar on Cloud Computing - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- RightScale Webinar: 451 Research Webinar: Cloud Dos and Don'ts - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Apple Technology (Vishwa Bandhu Gupta) - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Mind Tree Ltd. - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- BIM Cloud Computing [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Entreda discusses cloud services for small and medium businesses - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Austin IT Company | Computer Networking [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- Cloud Computing and Services - After Effects Template - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- FieldStorm App Tour - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]
- The Hon Brendan O'Connor's speech: AccountRight Live launch event - Video [Last Updated On: November 3rd, 2012] [Originally Added On: November 3rd, 2012]