Reducing Cloud Costs with a Hybrid Solution for a Microsoft-Centric Customer

Our customer, a long-time AWS user, was facing rising cloud costs. Their development and production environments were fully hosted on AWS, but they were looking for ways to optimize expenses without compromising performance or reliability. After analyzing their setup, we proposed a hybrid solution: moving their development environment to their existing on-premises servers and hosting production on Azure Cloud.

The customer was already fully invested in the Microsoft stack, using .NET services and SQL Server, and had on-premises servers from legacy projects that were underutilized. This made Azure a natural fit for their production environment, while their on-premises infrastructure could handle development workloads.Here’s how ScaleNova made it happen.

The Challenge

The customer’s pain points included:

  1. High AWS Costs: Running both development and production environments on AWS was becoming expensive, especially for development workloads that didn’t require cloud scalability.
  2. Underutilized On-Premises Servers: They had existing on-premises servers from legacy projects that were sitting idle, representing wasted resources.
  3. Microsoft-Centric Stack: Their entire software stack was built on .NET services and SQL Server, which are natively supported and optimized on Azure.
  4. Need for Cost Optimization: They wanted to reduce cloud costs without sacrificing performance or developer productivity.

Our Solution: A Hybrid Approach:

We proposed a hybrid solution that leveraged their existing on-premises infrastructure for development and moved production to Azure. Here’s how we did it:

Moving Development to On-Premises

  • Repurposing Legacy Servers: We assessed their on-premises servers and repurposed them for development workloads. This included setting up .NET runtime environments and SQL Server instances to mirror their production setup.
  • CI/CD Pipeline: We implemented a Jenkins-based CI/CD pipeline on-premises to automate builds, testing, and deployments for development. This ensured developers could work efficiently without relying on cloud resources.
  • Cost Savings: By shifting development to on-premises, we eliminated the need for AWS resources for non-production workloads, significantly reducing costs.

 

Migrating Production to Azure

  • Why Azure? Azure’s native support for .NET and SQL Server made it the ideal choice for their production environment. Additionally, Azure’s Hybrid Benefit allowed them to use their existing SQL Server licenses, further reducing costs.
  • Migration Strategy: We used Azure Migrate to assess and migrate their production workloads from AWS to Azure. This included:
    • Moving .NET services to Azure App Services.
    • Migrating SQL Server databases to Azure SQL Database.
    • Setting up Azure Virtual Machines for workloads that required more control.
  • High Availability: We configured Azure Availability Sets and Load Balancers to ensure high availability and scalability for their production environment.

Integrating On-Premises and Azure

  • Hybrid Connectivity: We set up a secure connection between their on-premises environment and Azure using Azure ExpressRoute, ensuring low-latency and reliable communication.
  • Unified Monitoring: We implemented Azure Monitor and Log Analytics to provide unified monitoring across both on-premises and Azure environments. This gave them full visibility into their hybrid setup.
  • Backup and Disaster Recovery: We configured Azure Backup and Site Recovery to protect their production data and ensure business continuity.

The Results

The hybrid solution delivered significant benefits:

  1. Cost Reduction: By moving development to on-premises servers and leveraging Azure’s cost-effective pricing for production, the customer reduced their cloud costs by 30%.
  2. Improved Resource Utilization: Their existing on-premises servers were put to good use, eliminating waste and maximizing ROI.
  3. Seamless Integration: Azure’s native support for .NET and SQL Server ensured a smooth transition and optimal performance for their production environment.
  4. Scalability: Azure’s scalability allowed them to handle peak production workloads without over-provisioning resources.
  5. Developer Productivity: The on-premises development environment, combined with a robust CI/CD pipeline, ensured developers could work efficiently without disruptions.

The customer’s CTO said, “This hybrid solution was exactly what we needed. We’ve reduced costs, improved efficiency, and set ourselves up for future growth—all while staying within the Microsoft ecosystem.”

Conclusion

This project showcased how a hybrid cloud strategy can deliver significant cost savings and operational efficiency, especially for businesses deeply invested in the Microsoft stack. By leveraging their existing on-premises infrastructure for development and moving production to Azure, we helped the customer optimize their resources, reduce costs, and future-proof their operations.

It wasn’t just about cutting costs—it was about building a smarter, more efficient system that aligned with their needs and goals. And that’s what we do best.

Conclusion and Lessons Learned: The Human Side

  1. Plan Thoroughly: A detailed plan was the backbone of their success.
  2. Automate Everything: Automation saved time and reduced errors.
  3. Monitor Costs: FinOps kept the project financially on track.
  4. Test Rigorously: Testing ensured a smooth cutover.
  5. Communicate Clearly: Regular updates kept everyone aligned and calm.

 

The migration of Clients on-premises system to Amazon EKS was more than a technical project—it was a transformation. It brought the team closer, taught them resilience, and positioned the company for future growth. As one team member put it, “It wasn’t just about moving to the cloud. It was about moving forward.”

30% Reduction (~$300,000 Annually)

50% Faster Deployments (~$250,000 in Annual Productivity Gains)

100% Repurposed On-Prem Infrastructure (~$150,000 in ROI)

Let’s Connect Fill out the form below to connect with our team about our consultancy services. We’ll be in touch soon!