Variable costs are expenses that change in proportion to the activity or volume of a business. In cloud computing, variable costs would typically be those associated with consumption-based services, where you pay for what you use. For instance, the cost of the compute capacity by the hour or the amount of storage you use. In contrast, fixed costs, such as purchasing physical servers for an on-premises data center, do not fluctuate and must be paid regardless of usage levels.
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AWS Cloud Practitioner CLF-C02
Cloud Concepts
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