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IBM has decided to increase the prices of all its cloud services starting in 2024. What’s striking here is that there are huge differences between different regions for the company’s IaaS portfolio.

IBM is raising the prices of its cloud services nearly everywhere as of Jan. 1, 2024. This includes all IaaS and PaaS services provided by the cloud provider. For the IaaS datacenter services, this applies to the bare metal servers, virtual server instances, file and block storage and network infrastructure offered by IBM.

The Classic, VPC solutions and Cloud Object Storage will also face a price increase, although for the latter, this applies only in the São Paolo region. Furthermore, the price of Accelerated Archive storage and Deep storage will go up by 25 and 26 percent, respectively.

No price increases for IBM IaaS are being made for Power Systems, Virtual Server, third-party software or bandwidth.

Large difference between IaaS regions

Interestingly, for IBM’s IaaS offerings, there are large regional differences regarding price increases effective 1-1-2024. For example, prices in several U.S. regions, Chennai, India and Sydney, Australia are not going up, while those in other continents are.

In Amsterdam, for example, prices are going up 2.9 percent, in London 5.6 percent, Paris and Frankfurt 5.5 percent, Osaka, Singapore and Tokyo 6.3 percent and in São Paulo as much as 7.3 percent.

IBM did not explain why some regions were not affected by the price increase.

Een tabel met het aantal personen op elke locatie.

Higher IBM PaaS prices

For PaaS solutions and applications, prices are going up 3 percent for:

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  • All security services;
  • All solutions around IBM Cloud databases;
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IBM is not the only tech and cloud giant planning to increase the prices of its services in the coming year. Salesforce, Microsoft and Cloudflare also plan to do so. AWS recently raised prices for using IPv4 addresses.

Also read: Price increases destroy Salesforce’s already poor foundation