Scalability is to ensure if the organization can meet the increasing amount of work or demand in an efficient way. Amazon needs to analyze its load scalability in terms of its storage capacity system and its important that the company ensures their system is flexible enough to implement modifications accordingly.
It is also important to ensure the system can be enlarged according to the demand requirements of clients. Administrative and functional scalability are also important to consider since the system must be flexible enough to be enhanced in terms of functions as per the demand. Similarly, clients can analyze their load scalability by analyzing the expected future load and the functional or administrative changes that will be required to expand Amazon’s system to support other systems. This way they can benefit Amazon and their businesses (J. Dejun, G. Pierre and C.-H. Chi, 2009).
The total cost of ownership is essential for companies to have a financial estimate in order to determine direct or indirect costs of the system. Amazon provides its excellent services at a cost lower than the market rate, which attracts a number of clients towards it. The S3 costs 15cents per gigabyte of data stored in a month and also 20 cents per gigabyte of data transferred in a month. The EC2 costs 10 cents per instance hour used and 20 cents per gigabyte of data transferred in a month. These are the most competitive and in fact the lowest rates available amongst other companies. Hence the companies need to ensure lowest costs and greater profit, which Amazon is providing via its successful utility computing service (Leonard Kleinrock, 2005).
These are excerpts of essays please place order for custom essay paper, term papers, research papers, thesis, dissertation, book reports and case studies.