We've all heard how migrating to the cloud saves big businesses big money. First, it was applications delivered through the cloud, quickly followed by platforms and infrastructure. But what about actual business processes like in-house software development? How does working in the cloud and not just hosting stuff there impact enterprise software development costs? And more to the point, can using the cloud really save money in a quantifiable way as it makes these processes more efficient?

How do cloud tools reduce enterprise software development costs?

To answer these questions, it is first necessary to understand what it means to do software development in the cloud. It doesn't necessarily mean an enterprise moves every single aspect of development onto a cloud infrastructure or platform. In fact, it's not even necessary to host the final application in the cloud if that's not the desired environment.

In this interview with Mark Driver, VP of research at Gartner, we deal with the complexities of defining exactly what development in the cloud actually is. Of course, the interview covers much more than that, including a dialog about calculating the total cost of ownership (TCO) associated with having a developer on staff, calculating TCO if a shift is made to using cloud based tools, and the sticker shock that tends to come from both calculations. 

The artcile includes the recorded conversation. In fact, the video is way better than the article, so click play and see exactly what Mark has to say:

How do cloud tools reduce enterprise software development costs?

If this discussion tickles your fancy, you might also be interested in this article as well:

How has cloud computing impacted the developer and the development lifecycle?