Reduced Storage Costs
One benefit of PdfCompressor, an advanced compression, includes reduced storage costs. In recent years, the falling cost of hard drive space has caused many people to underestimate the true cost of storage. While it’s true that the cost of hard drive space, when purchased in a large enough quantity, may be just pennies per GB, that is nowhere near the true cost of storage. When you factor in costs related to servers, back-ups, system maintenance, staff, and the facility used to power and house storage, the true cost of internal storage is probably closer to $10 per GB, per year,2 although there are reports of internal IT departments charging as much as a $30 per month per GB3. And while cloud storage is advertised at around $.10 per GB per month by data hosting giants like Amazon and Google, this is simple file storage and not a document management system. Any organization storing mission critical files is typically inclined to utilize a hosted document management system. Depending on variables like user charges, volume, and features, the monthly cost for hosted document management can range from $2 to $50 per GB.
PdfCompressor can reduce file sizes and storage costs significantly. Let’s say you are storing 1 TB worth of TIFF files. At an estimated cost of $10 per GB per year for inhouse storage (which probably on the low end), you would be paying approximately $10,000 per year to store those documents. Based on tests run on sample documents by CVISION, applying PdfCompressor and converting those TIFFs to full-text searchable PDFs can reduce their size by approximately 90%.
Many people don’t realize how expensive the true cost of storage really is. When you factor in costs related to items like servers, back-ups, system maintenance, staff, and facilities, storage costs add up.
1 TB of document storage becomes 100 GB, and your cost for in-house storage has dropped from $10,000 per year to $1,000. Granted, this represents “potential” savings and assumes the rest of the resources in the storage system can be fully re-allocated (possibly for storing more documents). However, even if only half the potential savings is actually realized, it’s easy to see how PdfCompressor can pay for itself.
In the emerging world of cloud storage, the savings can be even more pronounced. Let’s say the user above is paying $10 per month per GB for cloud-based document management. That’s $120 per year per GB, or $60,000 per year for .5 TB worth of document storage. (Because cloud storage typically includes back-up, it will not require as much raw storage to maintain the same volume of documents as in-house storage). Applying PdfCompressor, and its 90% compression rate for black-and-white TIFF files, can reduce the amount of cloud document management storage needed from 500 GB to 50GB, potentially decreasing annual cloud storage costs from $60,000 to $6,000.
Actual Savings from File Compression
Now, are you actually going to realize $54,000 in annual savings on cloud storage by compressing a half-terabyte’s worth of documents? Probably not, as user licenses are also often factored into the cost of cloud-based storage. Also, under most cloud vendor pricing models, you are going to pay significantly (probably at least twice as much) more per GB for lower volumes of storage than you do for a half-terabyte or more. Nonetheless, the cloud storage savings related to PdfCompressor can be significant and more than pay for the cost of the software. It could also be the deciding factor that enables your organization to finally move off a legacy document management application and into a more modern, easier to maintain, cloud environment.
These savings obviously increase or decrease depending on the volume of documents, as well as the type. For example, for color documents, for which compression rates can average 98%, the savings can be even greater.
Due to the publicity of consistently falling hard drive prices, many people don’t realize how expensive the true cost of storage really is. When you factor in costs related to items like servers, back-ups, system maintenance, staff, and facilities, storage costs add up. The savings are even clearer when users move their documents into cloud storage, where there is often a fee per GB used. PdfCompressor has the ability to reduce document image file sizes by more than 90%, which can potentially reduce storage costs by a similar percentage.