OpEx

intermediate
business

Definition

Operational Expenditure - ongoing costs for services you use and pay for regularly, like cloud subscriptions. Like renting an apartment with monthly payments.

Real-World Example

Cloud computing shifts IT spending from CapEx to OpEx, where companies pay monthly for the cloud resources they actually use instead of buying expensive hardware upfront.

Frequently Asked Questions

What is OpEx?

Operational Expenditure - ongoing costs for services you use and pay for regularly, like cloud subscriptions. Like renting an apartment with monthly payments.

How is OpEx used in cloud computing?

Cloud computing shifts IT spending from CapEx to OpEx, where companies pay monthly for the cloud resources they actually use instead of buying expensive hardware upfront.

What are related terms to OpEx?

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

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