Cost advantages to consider when choosing a cloud platform - part 1: Pricing consistency with consumption flexibility

August 12, 2021 | 3 minute read
Justin Smith
Group Marketing Manager
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One of the biggest goals for many companies when modernizing their IT infrastructure with a cloud service provider is reducing costs. But raw cost savings are only one aspect of the overall economic value that migrating workloads to the cloud can provide. In the first of two blogs, I cover Oracle’s unique approach to pricing Oracle Cloud Infrastructure (OCI) services globally and offering flexible licensing and compute configurations.

Consistent low pricing globally

Oracle Cloud Infrastructure offers the same pricing across its services worldwide, except for outbound bandwidth. The same flat rate is charged for a given service, meaning no hidden cost variances exist when a business expands their footprint globally.

The following table shows some cost differences, according to OCI network pricing and Amazon (AWS) compute and network pricing as of May 1, 2020.

Cost Cost of OCI standard, VMs up to 57% less than AWS
Storage Block storage cost up to 99% less than AWS
Networking OCI data egress costs up to 95% lower than AWS (as of February 2020)
Cross region

OCI has consistent pricing throughout the world compared to AWS which charges different prices for the same resources in different regions.

For example, an AWS m5d.large (Linux, On-Demand) compute instance costs $0.113/hour in the US East (Ohio) region, 29% more in Tokyo, and 59% more in Sao Paulo (as of February 2020)

Oracle is committed to compelling network pricing anywhere and everywhere across globe, regardless of where an organization wants to deploy. The following table shows the savings across four growth regions compared to AWS:

Regional mapping Savings with Oracle over AWS
Asia, Japan, South America 69%
Middle East 23%

See the economic advantages of Oracle Cloud

Flexible computing choices

With Oracle’s flexible instances, IT can build their solutions exactly how they need them without the need for over provisioning. Oracle Universal Credits enable customers to have the flexibility to use any OCI and platform services at any time, in any region, to deliver faster time to market. Credits don’t expire at the end of billing month and can be used at any time during a 12-month contract.

Pay As You Go pricing lets customers only pay for what they use. Oracle manages capacity at no extra cost, if customers meet their spend commitment.

Customers can bring their existing Oracle software licenses to OCI with the Bring Your Own License (BYOL) benefit and spend 50% less on Oracle Cloud Infrastructure than any other public cloud, including AWS.


Oracle’s Compute platform is optimized for performance, flexibility, and cost by providing choices ranging from bare metal instances and virtual machines to completely flexible instances—all at a fraction of the price of similar options on AWS. In the second part of this series, I dive into performance and automation cost considerations.

For more information, see the following resources:

Justin Smith

Group Marketing Manager

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