Cloud

Server vendors push flex pricing to challenge cloud providers

As enterprises adopt cloud services, hardware vendors are fighting back with long-term payment plans that avoid capital outlay.

For some time now, server unit sales have been steadily dropping for the major x86 server vendors as enterprises draw down their on-premises hardware in favor of cloud services.

The response from the hardware vendors is if you can’t beat ’em, clone ’em. Vendors are adopting a pay-as-you-go model not unlike that of a cloud provider, where you pay for how much compute time you use and hand back the hardware when you are done rather than buying it outright.

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