Unless their product is pretty static and not seeing much development, they're probably in the negative.
Unless their product is pretty static and not seeing much development, they're probably in the negative.
What's capex vs opex now? Thats 150k of depreciable assets, probably ones that will be available for use long after all the current staff depart.
Everyone forgets what WhatsApp did with few engineers and less hardware, there's probably more than enough room for them to grow, and they have space to increase capacity.
The cloud has a place, but candidly so does a Datacenter and ownership.
Now you're maintaining two tiers. That's more work, not less.
I think the real question is what's the cost to buy an equal number of training hours so you can pretend your resources are that competent.
Imagine a military that never fought, never did significant exercises and probably doesn't even have cleaning exercises any more on half its inventory.. That's basically how I view a company that had organic IT growth over a few years and hasn't done a major transition in anyone's recent memory.