THE CIO PARADOX Investing in cloud computing can provide many benefits for the business, including reducing overall IT expenditures. However, because cloud computing expenditures are treated as operating expense, they negatively impact EBITDA, and possibly you and your boss’s compensation.

Conversely, purchasing the hardware and software in a business-as-usual model will cost more, but have no negative impact to EBITDA. WHAT IS A CIO TO DO? First, it is most important the CIO, CFO, CEO and other decision makers discuss and fully understand the Cloud Computing – EBITDA Paradox.




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