Cloud vs. Brick Online Backup – calculating the cost per Gig (GB)

Every wonder what the difference in cost per gig (GB) of online backup storage is in the Cloud (e.g. Amazon EC2 using EBS) vs. the cost of your own servers?   In looking into our costs and doing some quick math, the out of pocket cost per GB in the Cloud is 2X the cost of servers hosted at one’s own site, and for completeness co-locating one’s servers in a data center is somewhere in between.   This is pretty much as we expected though there are certainly other costs, such as personnel, which when factored in dramatically narrows the gap. For the details behind the math, including actual $/GB storage costs, please check out the online guide called “Starting an Online Backup Business: How To Guide” in the support area of the WholesaleBackup website – there’s priceless real world information contained within derived from our running a profitably growing online backup business for more than seven years.