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>_ How We Reduced Cloud Costs by 45% for a SaaS Startup

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Subrat Bhol
|15 February 2026|2 min read
How We Reduced Cloud Costs by 45% for a SaaS Startup

Cloud costs can spiral out of control for fast-growing startups. When one of our SaaS clients came to us spending over $15,000/month on AWS, we knew there was room for optimization.

///The Audit

We started with a comprehensive audit of their AWS infrastructure:

  • EC2 instances running at 10-15% average CPU utilization
  • RDS databases over-provisioned by 3x
  • S3 storage with no lifecycle policies
  • Lambda functions with excessive memory allocation

///Optimization Strategy

1. Right-Sizing Compute

We analyzed CloudWatch metrics over 30 days and downsized instances where utilization was consistently low. Moving from m5.xlarge to m5.large saved 50% on compute alone.

2. Reserved Instances and Savings Plans

For predictable workloads, we purchased 1-year reserved instances. Combined with Savings Plans for flexible compute, this reduced on-demand costs by 35%.

3. Serverless Migration

We migrated scheduled jobs and event-driven workflows to AWS Lambda. No idle compute costs — you only pay for what you use.

4. Storage Optimization

Implementing S3 Intelligent-Tiering and lifecycle policies automatically moved infrequently accessed data to cheaper storage classes.

///Results

After three months of optimization:

  • 45% reduction in monthly cloud spend
  • 99.95% uptime maintained throughout
  • Improved performance due to right-sized resources

The cheapest infrastructure is the infrastructure you do not need. Always measure before you optimize.

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Written by

Subrat Bhol

Apie Tech Engineering Team

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