One of the biggest questions businesses face when choosing a cloud provider is cost. While cloud computing offers flexibility and scalability, pricing models can be complex, with different billing metrics, discounts, and hidden fees. In 2025, the leading providers—AWS, Microsoft Azure, Google Cloud Platform (GCP), IBM Cloud, Oracle Cloud, and Alibaba Cloud—compete aggressively not only on features but also on pricing. This article compares the cost structures to help you understand which platform may suit your budget.
Amazon Web Services (AWS)
AWS remains the market leader with a pay-as-you-go pricing model.
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Compute (EC2): t3.micro instance starts around $0.01/hour (~$7/month)
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Storage (S3): First 50 TB at $0.023/GB/month
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Strengths: Largest global infrastructure, flexible pricing options including spot and reserved instances
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Best For: Enterprises needing global scalability
Microsoft Azure
Azure pricing is similar to AWS, with strong discounts for enterprises using Microsoft software.
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Compute (B1s VM): Starts at around $13/month
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Storage (Blob Storage): About $0.0184/GB/month for hot tier
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Strengths: Hybrid cloud capabilities, integration with Microsoft 365 and Active Directory
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Best For: Organizations already invested in Microsoft ecosystem
Google Cloud Platform (GCP)
GCP is known for its competitive and transparent pricing.
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Compute (e2-micro VM): Free within limits, paid instances start around $0.009/hour
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Storage (Cloud Storage): $0.020/GB/month for standard tier
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Strengths: Sustained use discounts, strong AI/ML integrations
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Best For: Data-driven businesses and startups leveraging AI
IBM Cloud
IBM Cloud caters to enterprises in regulated industries.
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Compute (Virtual Servers): Starting from $0.038/hour
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Storage: Varies, typically $0.023/GB/month for object storage
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Strengths: Compliance and security for finance, healthcare, and government
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Best For: Organizations with strict compliance requirements
Oracle Cloud Infrastructure (OCI)
Oracle offers aggressive pricing to compete with AWS and Azure.
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Compute (VM.Standard.E2.1): $0.01/hour (~$7/month)
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Storage (Block Storage): $0.0255/GB/month
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Strengths: Optimized for Oracle databases, cost advantage for heavy database users
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Best For: Enterprises running Oracle software and mission-critical databases
Alibaba Cloud
Alibaba Cloud is the dominant player in Asia-Pacific with lower entry costs.
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Compute (ECS t5 instance): Starting at around $0.005/hour (~$3.50/month)
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Storage (OSS Standard): $0.017/GB/month
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Strengths: Regional presence in Asia, cost-effective pricing
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Best For: Businesses expanding into Asia
Pricing Comparison Table (2025 Estimates)
Provider | Compute (basic VM/hour) | Storage (per GB/month) | Best For |
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AWS | $0.01 | $0.023 | Global scalability, enterprise use |
Azure | $0.018 (approx.) | $0.0184 | Microsoft-focused enterprises |
Google Cloud | $0.009 | $0.020 | Data and AI-driven businesses |
IBM Cloud | $0.038 | $0.023 | Regulated industries |
Oracle Cloud | $0.01 | $0.0255 | Database-heavy workloads |
Alibaba Cloud | $0.005 | $0.017 | Asia-Pacific expansion |
Conclusion
In 2025, cloud pricing remains competitive but nuanced. Alibaba Cloud offers the lowest entry cost, Google Cloud is cost-efficient for data-heavy workloads, Oracle Cloud undercuts competitors for database users, while AWS and Azure justify their higher costs with robust ecosystems and enterprise features. The right choice depends not only on price but also on performance, compliance, and integration needs.