The law mandates egress costs should either be free or not exceed the costs encountered by the cloud provider.
The law mandates egress costs should either be free or not exceed the costs encountered by the cloud provider.
This is a particularly meaningless gesture in the direction of compliance from a provider dominant across so many categories of cloud services as AWS is -- the whole point of the "in parallel" requirement in the law is, I would assume, to prevent the mega-cloud providers (AWS, mainly, but also Azure and GCP) from being able to effectively lock customers to monopolize areas of cloud services where their specific offerings are weak by the egress fees of their dominant offerings which would be used alongside them. "Free only when you are transferring out to leave our platform" doesn't address this lock-in at all.
Amazon’s behaviour isn’t surprising, but you’re not wrong to call it out
If you do it early, you're at a disadvantage (unless you can market it heavily, which usually only is if you're the small player already).
If AWS unilaterally cut egress fees 100x, then a few things might happen:
GCP and Azure customers might migrate to AWS or have very serious phone calls with their account reps. (Hmm, GCP customers might be unable to reach an account rep.)
Third party providers, who are currently stuck in AWS, GCP and Azure because their customers can’t afford egress if they move out, will consider alternative hosting. This is IMO a big one, but it has nothing to do with whether GCP and Azure play along.
Some customers might shut down their colocated systems and move into AWS.
Why is being first a problem?
What is expensive is leaving in part. You can’t offload part of your data pipelines to, say, Digital Ocean or a colo cost-effectively.
So briefly in this case AWS does something which seems superficially good, but the real reason is to appease a law that it actually doesn't properly comply with. (Is the, not my, claim.) i.e. a good thing done in bad faith.