Andrei Yurkevich—President and Chief Technology Officer at Altoros—compared cloud vs. regular hosting in terms of which could be a better choice for a startup. He dwelled on how usage of cloud-based hosting might affect not only efficiency of spending on hardware, but also success of the whole venture. On October 11, 2011, Altoros organized and took part in the first CloudCamp in Denmark held within the GOTO Aarhus Conference.

1. Cloud vs. Traditional Hosting
Startup Story
Andrei Yurkevich
President and CTO at Altoros Systems, Inc
andrei.yurkevich@altoros.com

2. BEN SOCIAL DATING BOB

3. BEN SOCIAL DATING BOB
AS
AWS EAST
SMALL
0 users 0 users
Cost: $250/month Cost: $0.04/hour
$ VERSION WEEK VERSION $
0 1.0 1 1.0 0

4. BEN SOCIAL DATING BOB
AS
AWS EAST
СRASHED
SMALL
500 500
500 users 500 users
Infrastructure spending: $250 Infrastructure spending: $70
$ VERSION MONTH VERSION $
250 1.1 1 1.1 70

5. BEN SOCIAL DATING BOB
AS
AWS EAST
СRASHED LARGE
SMALL
500 500
500 users 500 users
Infrastructure spending: $250 Infrastructure spending: $70
$ VERSION MONTH VERSION $
250 1.1 1 1.1 70

6. BEN SOCIAL DATING BOB
AS
AWS EAST
LARGE
500 500
1 000 users 1 000 users
$205
Infrastructure spending: $250 Infrastructure spending: $275
$ VERSION MONTH VERSION $
500 1.2 2 1.2 345

7. BEN SOCIAL DATING BOB
AS
AWS EAST
СRASHED СRASHED
LARGE
4 000 2 000
5 000 users 3 000 users
Infrastructure spending: $250 Infrastructure spending: $275
$ VERSION MONTH VERSION $
750 1.3 3 1.3 620

8. BEN SOCIAL DATING BOB
AS
AS
AWS EAST
СRASHED СRASHED EXTRA
LARGE LARGE
4 000 2 000
5 000 users 3 000 users
Infrastructure spending: $250 Infrastructure spending: $275
$ VERSION MONTH VERSION $
750 1.3 3 1.3 620

9. BEN SOCIAL DATING BOB
AS AS
AWS EAST
EXTRA
250 250 LARGE
5 000 3 000
10 000 users 6 000 users
$250 $275
Infrastructure spending: $500 Infrastructure spending: $550
$ VERSION MONTH VERSION $
1 250 1.3 4 1.4 1 170

10. BEN SOCIAL DATING BOB
AS AS
AWS EAST
СRASHED
EXTRA
250 250 LARGE
5 000 4 000
15 000 users 10 000 users
Infrastructure spending: $500 Infrastructure spending: $550
$ VERSION MONTH VERSION $
1 750 1.4 5 1.5 1 720

11. BEN SOCIAL DATING BOB
PERMANENT
AS AS L L
AWS EAST
СRASHED
EXTRA SCALE
LARGE
250 250
L L
5 000 4 000
15 000 users 10 000 users
Infrastructure spending: $500 Infrastructure spending: $550
$ VERSION MONTH VERSION $
1 750 1.4 5 1.5 1 720

12. BEN SOCIAL DATING BOB
AS AS LB
L L . 24h/d
СRASHED x2
250 250 L L 2h/d
10 000 10 000
25 000 users 20 000 users
Infrastructure spending: $500 Infrastructure spending: $550 + $46
$ VERSION MONTH VERSION $
2 250 1.5 6 1.5 + scale 2 366

13. BEN SOCIAL DATING BOB
LB
AS
AS AS AS LB
L L . 24h/d
СRASHED AS x2
250 250 L L 2h/d
10 000 10 000
25 000 users 20 000 users
Infrastructure spending: $500 Infrastructure spending: $550 + $46
$ VERSION MONTH VERSION $
2 250 1.5 6 1.5 + scale 2 366

14. BEN SOCIAL DATING BOB
LB
AS
AS LB
L L . 24h/d
x2
L L 4h/d
AS
10 000 40 000
35 000 users 60 000 users
$500
Infrastructure spending: $1 000 Infrastructure spending: $550 + $92
$ VERSION MONTH VERSION $
3 250 1.5 7 1.6 2 958

15. BEN SOCIAL DATING BOB
LB
AS
AS LB
L L . 24h/d
СRASHED x4
L L L L 6h/d
AS
25 000 60 000
60 000 users 120 000 users
Infrastructure spending: $1 000 Infrastructure spending: $550 + $275
$ VERSION MONTH VERSION $
4 250 1.6 8 1.7 3 783

16. BEN SOCIAL DATING BOB
x8
LB
AS
AS LB
L L . 24h/d
СRASHED x4
L L L L 6h/d
AS
25 000 60 000
60 000 users 120 000 users
Infrastructure spending: $1 000 Infrastructure spending: $550 + $275
$ VERSION MONTH VERSION $
4 250 1.6 8 1.7 3 783

17. BEN SOCIAL DATING BOB
LB LB
L L . L L . 24h/d
x1 x8
L 3h/d L L 6h/d
50 000 180 000
10 000 users 300 000 users
Infrastructure spending: $550 + $35 Infrastructure spending: $550 + $550
$ VERSION MONTH VERSION $
4 835 1.6 + cloud 9 1.8 4 883

18. BEN SOCIAL DATING BOB
LB LB
24h/d
BAD
L L . L L .
REPUTATION x1 x40
L 3h/d L L 12h/d
8 000 200 000
2 000 users 500 000 users
Infrastructure spending: $550 Infrastructure spending: $550 + $5500
$ VERSION MONTH VERSION $
5 385 1.7 10 2.0 10 933

19. BEN SOCIAL DATING BOB

20. BEN SOCIAL DATING BOB
Recommendations:
1) Choose cloud hosting when the
1) Choose dedicated server when you load is unknown, especially if
know your load exactly and when there is a chance that it will be
there is no big variations in traffic very high
2) Keep in mind that system upgrade 2) Take advantage of cloud elasticity
takes time
3) Monitor system load and upgrade
3) Remember that performance issues to a more powerful instance
may negatively affect the existing user before you run out of the
base resources
4) Test scalability of the application
before your users do that

21. Answers to questions
Andrei Yurkevich
President and CTO of Altoros Development
andrei.yurkevich@altoros.com