Cloud Egress Costs Explained: Why AWS Bills You $54,000 for Sending Data
What is Cloud Data Egress?
Data egress refers to data transferred out of a cloud provider — to the internet, to your on-premises systems, or to another cloud provider. Ingress (data going in) is typically free. Egress is not.
The Real Cost of Egress
| Provider | Egress Price/GB | Free Tier/Month | Annual Cost (50TB/mo) |
|---|---|---|---|
| AWS | $0.090 | 1 GB | ~$54,000 |
| Azure | $0.087 | 5 GB | ~$52,200 |
| GCP | $0.080 | 1 GB | ~$48,000 |
| OCI | $0.0085 | 10,240 GB | ~$3,100 |
| Alibaba | $0.078 | 1 GB | ~$46,800 |
Why is Egress So Expensive?
Cloud providers argue that egress costs reflect real infrastructure costs — bandwidth at data centre scale is genuinely expensive. Critics argue that high egress pricing is intentional vendor lock-in: the higher the cost to move your data out, the less likely you are to switch providers or use multi-cloud architectures.
Inter-Region Transfer Costs
Egress between regions within the same cloud is also charged: AWS inter-region: $0.02/GB. This means that a distributed application transferring 10TB/month between US-East and Singapore costs $200/month just in internal data transfer fees.
The OCI Egress Advantage
Oracle Cloud Infrastructure is dramatically different. OCI provides 10 TB of free egress per month — more than any other major cloud. Beyond 10TB, pricing is $0.0085/GB — 94% cheaper than AWS. For organisations with high data transfer volumes, this single difference can save tens of thousands annually.
Strategies to Reduce Egress Costs
- Keep compute and storage in the same region: Don't process data in one region and store it in another
- Use CDN for static content: CloudFront, Azure CDN and Fastly are all cheaper than direct egress
- Compress data before transfer: Reduce the volume being transferred
- Evaluate OCI for data-intensive workloads: The egress savings alone can dwarf other cost differences
- Consider Direct Connect / ExpressRoute: Dedicated network connections often have lower effective egress costs for high-volume on-premises transfer
For any workload transferring more than 10TB per month, model OCI as a comparison — the egress savings alone can fund multiple other cloud services.
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