Comment Re: That's just tech (Score 1) 147
It saves some money with some jobs, but it raises costs in other areas in ways that aren't immediately obvious to middle managment (or IT management who often don't care about the other departments). Slower service, slower development time, prices that rise because the initial tier of cloud service wasn't sufficient, higher prices for expanded network bandwidth needed for the cloud, etc.
You still need local IT people for basic support needs. And those numbers dwindle when the cloud is used and they decide they want outsourced IT as well. Operating on a shoestring budget is fine, but you also get shoestring service.
Downtimes are often completely out of your control. In-house, you can still use servers even when the internet isn't accessible to the outside world. I have seen more downtime with Microsoft Azure DevOps than I have with the previous in-house environment. An outage at a major cloud supplier affects you, but probably hundreds of other companies. at the same time. You also still want local backups, or backups at a third location - don't trust your cloud provider to do it properly or to restore in a timely manner (no matter how important you think you are, the cloud provider doesn't care). At times latency is just awful as well.
Sometimes bare metal is needed - not often, but when it's needed it should not be dismissed merely because the cloud won't do it cheaply. If you've got overallocated usage of the real hardware, some tasks won't work well in either a container or VM. Ie, a simulation that could run reliably on a PC with 32or 64 GB but bogs everything down in a VM. Cloud services are not very flexible, you don't get custom solutions.
I have seen that with IT abandoning their own ownership of servers, that departments and divisions sometimes create their own internal IT teams to run and manage servers (with hardware security modules, or for building, testing, etc). I don't know how common this is, since cloud services are designed around the common case. Having separate IT teams is expensive, but when the central guys are 100% Microsoft toadies who are 8 time zones away...