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What happened this week:
The King of FinOps Acquisitions
How PepsiCo capped Cloud with FinOps
Tons of AWS News, Good đź‘Ľ and Bad đź‘żÂ
Mention of Honour: Karpenter & Terraform
Job Offers
Professional Spotlight with a Post of Community Favourites
Dropping great stuff. Enjoy yourself:
Collaborate with FinOps Weekly
Acquisitions
The King of FinOps Acquisitions
IBM is making news with its latest acquisition. They’ve acquired Kubecost, one of the most well-known tools in the FinOps space for Kubernetes optimization.
Why Kubecost Matters
It offers real-time cost visibility and insights. Helps reduce spending and prevent resource waste in Kubernetes. And a considered tool by the community.
IBM’s Strategy
This could make IBM’s FinOps solutions more complete as it combines cloud cost management with business insights.
Comes after IBM’s acquisition of Apptio.
Kubecost increases IBM’s FinOps portfolio of solutions.
As discussed in my LinkedIn post (don’t miss the comments), IBM’s FinOps strategy relies heavily on M&A (mostly Acquisitions).
If you’ve been investing or in the corporate world long enough, you know that M&A synergies are normally higher on paper than in reality. So being cautious about acquisition results is almost mandatory.
Will IBM be able to create a unified suite of FinOps tools that can make a good part of FinOps Market Share? Only time will give us the answer.
In partnership with FinOpsly
AI Copilot for FinOps
End-to-End FinOps.
Data at the speed of thought.
FinOps Empowered by AI.
Big Companies
PepsiCo joins FinOps Adopters
PepsiCo discovered managing cloud costs is trickier than expected.
Here’s how they handled it:
Cloud Costs Grow Quickly
Companies often face exploding cloud expenses.
Monitoring and managing is key to control spending.
FinOps Framework Used
PepsiCo used FinOps to track cloud costs.
They split costs into direct, indirect, and shared.
Direct Costs Explained
Specific teams manage their own cloud costs.
Teams pay for what they build and use.
Indirect and Shared Costs
Shared costs are tricky, like splitting a dinner bill.
PepsiCo figured out fair ways to divide these.
Executive Influence
Cloud spending is a priority for company leaders.
Upskilling and involving CIOs aids in managing costs.
Great to see large companies taking action to tame their cloud costs. FinOps is here to stay.
Cloud Repatriation
AWS faces competition as firms return on-premises
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Amazon’s AWS is seeing more customers move back to on-premises setups, contrary to the cloud-first trend they once championed. Here’s why:
Customers want more control over their resources and data. They value data security and technology access. Reallocating internal finances is another reason.
Cost plays a significant role in cloud repatriation. Companies are now saying they save money by moving on-premises. As ab example, 37Signals saved $1 million by switching back.
IDC research shows a trend toward private infrastructure. Over half prefer private IT setups in EMEA, and only 12% are public cloud-oriented.
AWS’s response to competition and the CMA report:
29% of UK organizations switched to on-premises from the cloud.
AWS promotes multi-cloud but warns against standardizing too low.
AWS is now defending its practices and addressing competitive dynamics in the cloud market.
Together with Archera
What are Insured Cloud Commitments?
I did my video content debut to explain the concept of Insured Cloud Commitments.
A great option if you consider short-term commitments to initiate your company into the world of cloud commitments without compromising large amounts of time and budgets.
Archera will provide you a check if you overprovisioned and your commitment didn’t generate savings. Consider that you’ll be paying a premium to have this flexibility.
Check the complete video for the detailed info.
Discover if insured cloud commitments can fit in your FinOps strategy below!
AWS
AWS Cost Explorer adds DynamoDB Reserved Capacity Recommendations
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AWS has introduced new tools to help manage your Amazon DynamoDB costs, with new recommendations that can help you buy reserved capacity.
Reserved capacity could save you up to 77%. It encourages a longer usage commitment, like one or three years.
Cost Explorer provides suggestions for seven AWS services. This includes Amazon EC2, RDS, Redshift, and others. Recommendations are based on your current usage.
Customize suggestions to fit your business needs. Options include term length and past usage patterns. Align them with your financial goals.
The solution is available in almost all AWS Regions, only excluding regions in China and AWS GovCloud.
Mention of Honour presented by FinOpsly
End-to-End FinOps.
Data at the speed of thought.
FinOps Empowered by AI.
FinOpsly’s AI-powered platform helps optimize your cloud cost and performance by understanding the unique complexities of your cloud infrastructure.
🎖️ Mention of Honour
Dynamic AMI management with Terraform in AWS Karpenter
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Shared by Anton Babenko in his newsletter Weekly TF 🙂
Terraform Weekly
A weekly newsletter about Terraform ecosystem (posts, tools, tips&tricks, open-source) with humble opinions by Anton Babenko https://weekly.tf
Learn how to manage AWS Karpenter efficiently with Terraform:
AWS Karpenter Setup: Use Terraform to set up AWS Karpenter. Focus on kubectl_manifest for configuration.
Dynamic AMI Management: Handle AMI selection for efficient node management. Use dynamic values in YAML with templatefile.
EC2NodeClass Configuration: Ensure EC2 nodes are configured right using YAML(tftpl). Dynamically choose AMIs needed for EC2 nodes.
Latest AMI Usage: Set amiselectorterms to empty for latest AMI. Karpenter automatically selects the latest available AMI.
Verify AMI Usage: Check AMI selection in EC2NodeClass description. Confirm if a specific or latest AMI is used.
Recommendation: Set amiSelectorNames explicitly to control AMI updates. Avoid unwanted node replacements with precise settings.
Utilize this guide for efficient AWS node management!
🏆 Quick Wins
Announcements
Graviton4-powered memory-optimized Amazon EC2 X8g instances
Amazon CEO mandates 5-day office return policy.
Kubernetes version 1.31, called “Elli”, just launched.
Events
FinOps Webinar – From Waste to Efficiency: Avoiding Costly Mistakes and Optimizing Cloud Usage*
Articles & Podcasts
Save money on redundant cloud resources now. A great post by Christian
Recommended FinOps Training Paths by FinOps Foundation
Why do FinOps pros need to be ready for Industrial Cloud Platforms (ICP)?
Data center emissions are probably 662% higher than big tech claims. Can it keep up the ruse?
Optimize storage cost for your Athena queries
* Sponsored content
Professional Spotlight
Ben de Mora
Had the pleasure to e-meet Ben on Friday, and I found a great guy. Definitely someone to check, as he’s been in plenty of FinOps battles from the ground up. Straight to the point, as FinOps should be.
👩‍🏠FinOps Job offers
Permanent links (i.e. FinOps Job site) and FinOps Job Offers online.
đź’¬ FinOps Connect Community
Join FinOps Connect Slack Channel and let’s chat about the news & FinOps 🙂
That’s all for this week. See you next Sunday!
Let’s Collaborate!
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