Kubernetes costs spiralling as businesses fail to monitor spend

Although most businesses are reporting costs as expected to rise, less than 30% use accurately track this spend

Expenditure on Kubernetes is rising dramatically, and most businesses are struggling to accurately project how much they’re expecting to spend on their container orchestration systems in future.

Over the last year, Kubernetes-related costs surged for 68% of businesses, according to research by the Cloud Native Computing Foundation (CNCF), which manages the ecosystem. Just 12% of businesses lowered their Kubernetes expenses, while among organisations to have sustained an increase, half saw it jump by more than 20%.

Kubernetes is an open source container orchestration system for automating app deployment, scaling and management. While it was originally designed by Google, Kubernetes is now maintained by the CNCF.

The trend does not come as a surprise, according to the report, because as most organisations adopt cloud-native architectures and scale up Kubernetes environments, the associated cloud costs will rise.

Despite costs projected to spiral, however, there’s a disconnect between these rising expenses and how well most businesses are able to accurately forecast Kubernetes costs, project these, and instigate processes that can manage overspend.

CNCF and the FinOps Foundation surveyed senior IT staff from their extended communities of 195 organisations, which is a small sample size but serves as a representative sample of a cross-section of businesses. 

The vast majority of respondents either don’t monitor Kubernetes spending at all, 24%, or rely on monthly estimates only, 44%. Only 13% used accurate show-backs while 14% had a chargeback programme in place. 

Related Resource

Cloud operational excellence

Everything you need to know about optimising your cloud operations

Cloud operational excellence - webinar from TrendMicroWatch now

“As more organisations adopt cloud-native architectures and scale up Kubernetes environments, the associated cloud costs will rise,” the report said. “However, the FinOps for Kubernetes survey uncovered a disconnect between these rising expenses and how well most respondents have been able to accurately and effectively monitor Kubernetes costs, predict those costs, and instill processes that can curtail unnecessary overspend.

“Whether spending $10,000 per month or 100x that, the lack of real-time cost visibility and the insights and actions that organisations can take from that suggests that the majority of organizations leveraging Kubernetes can become significantly more cost-efficient – and do so without impacting performance.”

As cloud costs continue to rise for the majority of businesses, the report urges organisations to adopt processes and systems to track how much they spend. Firms should look beyond basic cost estimations and should instead seek to allocate costs back to granular environments and projects for show-back and chargeback. 

Featured Resources

The ultimate law enforcement agency guide to going mobile

Best practices for implementing a mobile device program

Free download

The business value of Red Hat OpenShift

Platform cost savings, ROI, and the challenges and opportunities of Red Hat OpenShift

Free download

Managing security and risk across the IT supply chain: A practical approach

Best practices for IT supply chain security

Free download

Digital remote monitoring and dispatch services’ impact on edge computing and data centres

Seven trends redefining remote monitoring and field service dispatch service requirements

Free download

Most Popular

Apple MacBook Pro 15in vs Dell XPS 15: Clash of the titans
Laptops

Apple MacBook Pro 15in vs Dell XPS 15: Clash of the titans

11 Oct 2021
Best Linux distros 2021
operating systems

Best Linux distros 2021

11 Oct 2021
HPE wins networking contract with Birmingham 2022 Commonwealth Games
Network & Internet

HPE wins networking contract with Birmingham 2022 Commonwealth Games

15 Oct 2021