CapEx or capital expenses is a term in financial accounting used to describe business acquiring assets that they tend to use for a longer period of time (beyond a single tax year). On the other hand, purchases made within a single tax year consider to be OpEx or operational expenses and they refer to the ongoing expenses required for the day-to-day functioning of the business.
One of the topics that are prevalent when people talk about cloud computing is CapEx vs OpEx. Traditionally, CapEx was a preferred model, and that required huge investments. The tendency today is to shift IT investment from CapEx to OpEx.
In our new video, we give you an IT perspective on this topic, and explain why moving to the public cloud and start utilizing OpEx will bring you many benefits.
Having your workloads in the cloud, for example, gives you much more flexibility and scalability. Moreover, the public cloud enables you to respond to changes in business models easily and you are not slowed down with internal procurement processes for hardware and licenses.
The old way of thinking was that computers and data centers are true values. But that is not true. The real value is in innovation, in new business models, in a new way of thinking. Check out our video and make sure you subscribe to our UseWise channel to get notified of new videos.
if you need assistance with utilizing the public cloud, we would be more than happy to help.