Cost of updating a computer system
Through TCO study, businesses can make better strategic decisions and control costs.
There are many factors that need to be considered during the course of a TCO study, and identifying those factors is the focus of this article.
Other factors that bear careful examination when assessing the TCO for a server platform include operating costs, expenses associated with upgrading firmware, application-software costs, network-hardware expenses, and scalability costs.
Cumulatively, these factors indicate that the actual hardware costs represent only one component of the aggregate expenses incurred by an organization following their selection of a server platform.
They must therefore strive to obtain systems that have enhanced reliability, faster deployment time, and lower cost of ownership.High-performance systems that are capable of handling enterprise requirements but that are inordinately expensive also fare poorly in a TCO evaluation.Cost and performance cannot be separated in a rigorous TCO evaluation.For example, the cost of support and maintenance of a given platform typically represents a cradle-to-grave expense that can exceed the cost of the hardware by several times.
Controlling support costs clearly provides an effective approach to controlling overall costs within an IT group.
TCO comparisons therefore provide a real-world gauge to more accurately determine the anticipated expenses associated with specific server platforms.