The Significance of CapEx as a Measure of Cloud Providers' Investment

CapEx, short for capital expenditures, plays a crucial role in determining the seriousness of cloud providers. Companies that demonstrate significant increases in CapEx spending indicate a strong investment in their cloud infrastructure, such as data centers, servers, and networking gear. By analyzing CapEx numbers, engineers can assess a cloud vendor's commitment and reliability. For instance, IBM's declining CapEx spending over the years is an indicator of a lack of investment and potential unreliability. Therefore, considering CapEx is vital for practitioners evaluating cloud vendors.