Owned Or Rented: One Infrastructure Decision To Rule The Modern AdTech
An AdTech executive argues that while cloud infrastructure like AWS, Google Cloud, and Azure are beneficial for many businesses, companies in the programmatic advertising sector may find it more cost-effective to own their own servers. The author, Boris Abaev, CEO of Bidease, explains that the stringent latency requirements and high bid request volumes in AdTech can lead to infrastructure costs consuming up to 40% of revenue when using cloud services. Bidease migrated to owned infrastructure, reducing costs to under 20% of revenue and improving performance, which was crucial for operating in emerging markets with tighter unit economics. AI
IMPACT Suggests infrastructure cost optimization strategies for AI-heavy AdTech operations.