DOP 236: Efficient Cloud Cost Optimizations with Profisea Labs
Nov 8, 2023
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Anton Grishko, Chief Architect at Profisea Labs, discusses efficient cloud cost optimizations and the importance of proactive cost optimization in the cloud. They explore the financial aspect of driving changes and saving money, as well as the role of tools like Finob's in providing advisory services. They also talk about challenges with managing large instance images and introduce their tool Uniskye for DevOps and FinOps.
Adopting a proactive approach to FinOps can prevent wasteful cloud spending and necessitates building a governance framework and setting policies within the company for cost-efficient architectures.
Implementing budgeting on a team or project level promotes cost optimization from the start and requires considering both architectural choices and allocated resources, while striking a balance between realistic budgets and effective fund utilization.
Deep dives
FinOps and the Shift to Proactive Cost Optimization
Companies often take a reactive approach to FinOps, only focusing on cost optimization after they've already spent a significant amount. This mindset needs to shift, and FinOps teams should work proactively to prevent engineers from over-spending in the first place. Building a governance framework and setting policies within the company can help regulate cloud spending. Tools like infra-cost can provide insights into the cost of each commit in a Terraform repo, but a larger-scale approach for setting policies and guidelines is necessary. It's also important to address architectural choices and consider cost efficiency from the outset, rather than dealing with cost optimization as an afterthought.
The Importance of Budgeting and Living Within Means
Just as individuals budget and plan their expenses, companies should also do the same. Phenops teams should implement budgeting on a team or project level, ensuring that resources are not overspending. This approach not only prevents wasteful spending but also encourages teams to think about cost optimization from the start. It's important to consider both the architectural choices and the budgets associated with each team or project. However, budgeting in large companies can be complex, as shared resources and the fair allocation of costs need to be carefully managed. Companies should aim for a balance between setting realistic budgets and avoiding scenarios where funds are not effectively utilized.
Reevaluating Application Architecture for Cost Optimization
Application architecture plays a crucial role in determining cloud costs. Legacy applications or poorly architected systems can result in unnecessary expenses. Companies need to consider if their current architecture is efficient, scalable, and cost-effective. Identifying outdated technologies or inefficient practices can lead to significant cost savings. Additionally, companies should invest in modern frameworks and databases that offer better performance and cost efficiency. Amazon Prime's switch from microservices to larger services is an example of how architectural changes can lead to a 90% cost reduction. It is vital for companies to regularly reassess their application architecture and make adjustments to optimize costs.
Collaboration, Visibility, and Automation for Cost Optimization
Collaboration and visibility are crucial for effective FinOps. Companies should establish processes that encourage collaboration between teams, finance, and operations to ensure everyone understands the impact of their choices on cloud costs. It is essential to create policies and establish a clear infrastructure for resource management. This includes maintaining a centralized registry, carefully tagging resources, and implementing automation for processes like resource deletion. Proper tagging strategies and policies can help identify obsolete data or resources that can be safely eliminated. Additionally, investing in tools that leverage AI and machine learning can provide deeper insights and automate cost optimization practices.
#236: As you are heading into budget season for 2025, you're probably trying to figure out how to eliminate as much wasteful cloud spend as you can. But how did you get here? Instead of trying to reduce your cloud spend, maybe you should think about not spending the money in the first place.
In this episode, we speak with Anton Grishko, Chief Architect at Profisea Labs, about the necessity of building cost-efficient architectures and how AI is reshaping the FinOps landscape.