a16z Live

a16z Infra #6: The Cost of Cloud vs. Repatriation


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This conversation centers on the arguments and findings of the a16z piece The Cost of Cloud, a Trillion Dollar Paradox

  • The Core Findings of The Cost of Cloud piece [5:22]
  • Cloud is a significant part of COGS for public SaaS companies [8:38]
  • Should you allocate engineers to reduce cloud cost or just focus on growth? [12:06]
  • How much of a problem is not knowing cloud spend? [15:56]
  • The tradeoff between focusing cost and engineering resources [19:33]
  • Should large public SaaS companies repatriate? [23:41]
  • Performance  matters -- it's not all about cost [31:55]
  • Is all the talent for running data centers at the Google, AWS, and Azure? [37:46]
  • Will the cloud feature set become commoditized? [44:57]
  • Cloud oligopoly and market dynamics [50:39]

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a16z LiveBy Andreessen Horowitz

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