How Do You Pay for Your Platform-as-a-Service?

It astonishes me to see that except for Caspio all platform-as-a-service (PaaS) providers base their pricing on a per-user basis.

Before PaaS came into existence, people had to write code to make apps. You write the code, you own the app and you can have it used by as many people as you want. You only have to worry about adequate infrastructure to support your users.

PaaS makes the infrastructure an on-demand service. In the case of Caspio it also eliminates programming. However, with or without code, you still create your apps in a PaaS environment.

It seems unreasonable to pay the PaaS vendor for each of your users. A usage based pricing is more appropriate. That’s what Caspio has been doing since 2001.

Pricing models remnant of traditional desktop and enterprise software are stuck in the past. Usage based pricing must be the norm rather than the exception.

Innovation, the Real Benefit of Cloud Computing

The National Institute of Standards and Technology cites the following as the benefits of Cloud Computing:

  • eliminates upfront capital expenditures and dramatically reduces the administrative burden on IT resources,
  • allows organizations to add and subtract capacity as their needs change and to pay only for what they use,
  • provides reliable services, large storage and computing capacity, and 24/7 service,
  • enables agency IT resources to focus on business-critical applications,
  • means organizations are no longer faced with choosing between obsolete equipment and software and high upgrade costs; they are always using current technology.

Sure, no one can argue with any of these, however what we have come to see firsthand at Caspio again and again is that the simplicity and the low cost of building apps in the cloud fosters creativity and innovation the likes of which has never existed.

No longer big budgets or advanced technical skills are a requirement to bring new novel ideas to the market. No longer must business professionals get complete buy-in of corporate IT departments to introduce a new efficiency or a new automation to the enterprise. That’s the true benefit of the Cloud Computing that can propel business and government forward.