Case Study: Reducing Cloud Storage Costs for Large Enterprises

Managing cloud storage costs effectively is a top priority for FinOps Directors, Cloud Infrastructure VPs, and CIOs in the rapidly evolving digital landscape. This case study demonstrates how Lucidity’s cloud storage optimization solutions significantly reduced storage costs for a large logistics company, achieving substantial savings and enhancing operational efficiency.

The Challenge

Our client, a large logistics company with 800 employees, faced escalating cloud storage costs. With an Azure spend of $52,400 per month ($628,800 annually) and a managed disk spend of $6,834 per month, the organization sought opportunities to optimize spending and reduce costs without compromising performance.

Key Challenges:

Low Disk Utilization: The company’s disk utilization was 37%, indicating significant unused storage capacity.
High Monthly Costs: The average monthly bill for managed disks was $6,834, contributing to an estimated annual bill of $82,008.
Resource Constraints: The company struggled with managing and optimizing storage resources efficiently.

The Solution

Lucidity implemented its advanced AI-driven autoscaling and storage optimization solution to address these challenges. The solution aimed to increase disk utilization, reduce unnecessary costs, and streamline cloud storage management.

Key Features of Lucidity's Solution:

AI Autoscaling: Automatically adjusts storage resources based on real-time demand, ensuring optimal utilization and cost-efficiency.
Comprehensive Support: 99.99% availability with 24/7 support through email and phone.
NoOps Management: Seamless expansion and shrinking of disks with zero downtime, allowing DevOps teams to focus on strategic tasks.

The Implementation

Lucidity thoroughly audited the company’s Azure storage usage, identifying idle, orphaned, underutilized, and highly utilized resources. Here are the detailed findings and actions taken:

1. Idle/Orphan Resources:

- 85 disks with 52.2 TB of provisioned capacity had no data.
- Unrealized monthly cost savings: $2,918.60.

2. Underutilized Resources:

- 193 disks with 31.26 TB of provisioned capacity, but only 10.7 TB was utilized.
- Unrealized monthly cost savings: $685.66.

3. Well Utilized Resources:

- 9 disks with 0.84 TB of provisioned capacity and 0.64 TB utilized.
- Unrealized monthly cost savings: $25.80.

4. Highly Utilized Resources:

- - 8 disks with 1.3 TB of provisioned capacity and 1.19 TB utilized.
  - Unrealized monthly cost savings: $46.79.
  - Note: Highly utilized disks had a >80% chance of facing downtime, necessitating additional resources soon.

Conclusion

This case study highlights the transformative impact of Lucidity’s cloud storage optimization solutions on a large enterprise’s operational efficiency and cost management. By leveraging advanced AI-driven autoscaling and comprehensive support, Lucidity enabled the logistics company to achieve substantial cost savings and improved storage utilization.

At MetrixData 360, we understand the importance of effective cloud cost management. Our solution Lucidity is designed to help organizations implement FinOps practices and optimize their cloud spending.
Contact us today to learn how we can support your FinOps journey and drive financial success in your cloud operations.