The financial transformation that occurs when organizations migrate from traditional on-premises infrastructure to cloud-based solutions represents one of the most compelling reasons for digital modernization initiatives across industries. While the initial motivation for cloud adoption often centers on technological capabilities and operational flexibility, the cost reduction potential typically becomes the decisive factor in securing executive approval and organizational commitment to cloud strategies. Understanding the multifaceted nature of these cost savings requires examining both direct financial impacts and indirect economic benefits that contribute to improved profitability and competitive positioning.

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