Your cloud contract needs to look beyond renewal time

Use your contract to keep from being surprised when it's time to renew

By Thomas J. Trappler, Computerworld |  Cloud Computing, insider

So you've done all the right things in selecting your new cloud vendor. You went through a competitive bidding process, evaluated the bells and whistles offered by each vendor, identified the service that best meets your needs, got a great price for the first year, trained your staff on the new service, and mothballed your old in-house solution. A whole lot of work, wasn't it? Don't want to go through that again soon, do you? Well, if your contract doesn't effectively address the terms under which you can continue to use the service, then the cloud vendor may have you over a barrel at renewal time.

Avoid renewal surprises

Did the vendor offer you special introductory pricing for the first year? Maybe with a minimum volume commitment based upon the vendor's projected adoption rate? Great, but when renewal time comes around and your usage was a lot different than projected, and the vendor hits you with a much higher "list price". Not a good place to be. So do your homework, and take steps to assure reasonable and predictable costs beyond the initial contract period.

To continue reading, sign in or register here to become an Insider.


Originally published on Computerworld |  Click here to read the original story.
Join us:
Facebook

Twitter

Pinterest

Tumblr

LinkedIn

Google+

Answers - Powered by ITworld

ITworld Answers helps you solve problems and share expertise. Ask a question or take a crack at answering the new questions below.

Join us:
Facebook

Twitter

Pinterest

Tumblr

LinkedIn

Google+

Ask a Question
randomness