Journal
JOURNAL OF CLOUD COMPUTING-ADVANCES SYSTEMS AND APPLICATIONS
Volume 5, Issue -, Pages -Publisher
SPRINGEROPEN
DOI: 10.1186/s13677-015-0050-8
Keywords
Cobb-Douglas production function; Data center; Concavity; Returns to scale; Profit function; Cost function
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Enterprises are enhancing investments in cloud services setting up data centers to meet growing demand. A typical investment is of the order of millions of dollars, infrastructure and recurring cost included. This paper proposes an algorithmic/analytical approach to address the issues of optimal utilization of the resources towards a feasible and profitable model. The economic sustainability of such a model is accomplished via Cobb-Douglas production function. The production model seeks to answer questions on maximal revenue given a set of budgetary constraints. The model suggests minimum investments needed to achieve target output.
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