Snowflake and Zoom celebrate shrunken cloud bills as margins swell
Cloud bills blow out for several reasons – among them overprovisioning by either renting too many servers or selecting overpowered virtual boxes. Shadow IT makes a contribution. The perennial problem of forgetting about resources is another issue.uploaded 247 petabytes into AWS so that scientists could access the data, but forgot it would cop the bill when it as downloaded.often hears tales of users adding more and more data to the cloud, then being floored by storage bills.
Clouds and third-party vendors address these messes with tools that identify cloudy resources and find waste. Hyperscale cloud operators also drop prices – sharply – for customers that sign up to long-term deals. One of AWS's cost-cutting strategies is its Graviton CPUs, which it rents at lower rates than it charges for Intel or AMD processors while asserting users suffer no performance dip. AWS also suggests serverless computing as a big cost-saver. Snowflake may be spending less with Andy Jassy's server rental shop, but AWS would be happiest to see the analytics outfit put that on the record in an earnings statement.
That statement featured product revenue of $590 million for Q1 2024 – up from $394 million for in Q1 2023, but a widening operating loss. Zoom's revenue hit $1.1 billion for the quarter – a three percent year-on-year increase. Net income was $15.4 million. The vidchat champ reported it now has around 215,900 enterprise customers – nine percent growth from the same quarter last fiscal year. Clearly this whole remote meeting thing is not over. ®
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