Cloud vs Self Managed

	A	B	C	D
1	Metric	Value	Source
2	Revenue, $m	25	assume
3	% COGS	30%	public data
4	% of COGS Cloud	50%	source
5	Cloud Costs, $m	3.75
6	Percent Saved	60%	source
7	Self Managed Cost, $m	1.5
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10	Hypothetical P&L	Cloud	Self-Managed	Delta
11	Revenue, $M	25	25	0
12	COGS, $m	7.5	5.25	-30%
13	Gross Margin	70%	79%	13%
14	Gross Profit, $	18	20	11%
15
16	Sales & Marketing, $m	20	20	0%
17	Research & Development, $m	10	10	0%
18	General & Admin, $m	7	7	0%
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20	Opex Total, $m	37	37	0%
21
22	Net Income	-20	-17	-12%
23	Net Income Margin	-78%	-69%	-12%
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25	Payback Period, months	13.7	12.2	-11%
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