In 2016, Dropbox announced that they will be transitioning off the AWS cloud to move to their own datacenter to reduce cost. It made sense for them. Their users stored the files on server for years. Their S3 bill was huge. S3 charges 23 USD to store a terabyte of data on their server. in 50 USD, you can buy a 1 TB SSD and own it forever. So, basically you recover your initial cost in 2 months. Cost of storage is always going down thanks to advancement in semiconductor technologies. Later many companies(reddit, snapchat, twitter, Uber) followed the suit and announced their plans to exit the cloud and host their services in their own datacenters. AWS on average enjoys a good margin of 40 % on their services after deducting investment costs, operating costs as well as R&D costs.
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