There are many ways to parse the cost of the next Terabyte of storage for your enterprise — here is one way to start understanding storage TCO — you can use this simple calculator as the basis for other financial metrics like ROI and IRR. Here are the high-level data points:
HARDWARE ACQUISITION: Hardware purchase costs are often overemphasized as they are the easiest to identify and calculate.
MAINTENANCE: Hardware and software maintenance costs are an integral part of TCO. Manufacturers may use maintenance costs to influence future buying behavior through premature obsolescence.
ADMINISTRATION & OPERATIONS: Storage administration and business operations are important considerations for overworked staff and underfunded IT budgets. How a system is administered and its impact to the organization, whether positive or negative, last the life of the system.
RESOURCE USAGE: Power, cooling, and floor space are increasing in importance for organizations, especially those located on either coast or with limited data center space.
DOWNTIME EVENTS: The cost of downtime is often glossed over until it occurs and is visible to the board of directors or makes headline news.