ATLAS PROJECT
Cloud Transformation Cost Model
A scalable estimation model for turning workload counts and migration assumptions into transformation cost, run-rate, and multi-year economic scenarios.
01
Why the Model Exists
Early cloud pursuits often have incomplete discovery but still require credible magnitude estimates. The Cloud Transformation Cost Model creates a disciplined bridge between sparse estate data and an executive financial view. It is designed to show assumptions openly rather than hide uncertainty behind a single precise-looking number.
02
Cost Components
The model separates one-time transformation expense from recurring run cost. Migration factory labor, application remediation, data movement, testing, program management, landing-zone work, tooling, and contingency can be modeled independently. Recurring cost can include compute, storage, network, platform services, software licenses, managed services, and support.
03
Scaling Logic
Workloads can be grouped into complexity bands and assigned different migration effort. Shared factory costs are amortized across the program, while workload-specific effort scales with volume and complexity. This produces more realistic economics than multiplying every server by one flat migration rate.
04
Scenario Outputs
Typical outputs include migration investment, annual operating cost, five-year total contract value, savings versus source state, break-even timing, and sensitivity ranges. Assumptions can be varied to show conservative, expected, and aggressive cases.
05
Use in Pursuits
The model is most useful before perfect inventory exists. It gives architects and sellers a common financial language, identifies which unknowns materially change the business case, and tells discovery teams where additional precision is worth the effort.