GAE is only cheap if you are small. You know Google is Marking up the service. If you are big enough all the peaks and valleys of traffic even out. Cloud Solutions aren’t really trying to market to the types of users who even notice there is a free quota.
So no, I don’t think it is missing.
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Depends on your traffic patterns. I've seen a lot of apps who's
trafic peaks are very large and valleys very deep. At least on App
Engine you're not paying for massive amounts of idle capacity in off
hours -- it is more like always operating at capacity but knowing
(well, hoping) there will be more resources if needed. As for
cost-effectiveness, for some apps it is great and for others less so.
As usual, it all depends...
No, Services are sold at a profit, at some point you become large enough that you are better to own your own stuff.
This example won’t be “perfect” but think of it like this.
If you made the world’s comfiest chair, you start a web site, and you ship via Fed-Ex. You grow, and soon stores want to carry your chair, so you go from Fedex to an outsourced Distribution center like Navis. Soon Target wants to carry your stuff, so you buy a Plane, and some semis and ship directly to big clients with your fleet of trucks.
You go from “Managed” to “dedicated” to “Self” hosting your logistics. Because at each stage of the game what is “cheapest” is based on your capacity and the mark up of the solution.
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