CapEx

intermediate
business

Definition

Capital Expenditure - upfront costs for buying physical equipment like servers and data centers that you own. Like purchasing a house instead of renting.

Real-World Example

Before cloud computing, companies spent millions in CapEx buying servers, storage, and networking equipment for their own data centers.

Frequently Asked Questions

What is CapEx?

Capital Expenditure - upfront costs for buying physical equipment like servers and data centers that you own. Like purchasing a house instead of renting.

How is CapEx used in cloud computing?

Before cloud computing, companies spent millions in CapEx buying servers, storage, and networking equipment for their own data centers.

What are related terms to CapEx?

Related concepts include OpEx, Cloud Computing, Infrastructure. Understanding these connections helps build a comprehensive knowledge of cloud computing concepts.

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