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Great option for your server upgrade: Microsoft Azure cloud


Your IT infrastructure is getting old

For business owners, it is important to have a decent server in an IT infrastructure. Why? Because the server can host a lot of services and features that can support your IT infrastructure. Many companies are still using Windows Server 2012 for their domain controller and it is getting old. It is recommended updating the server software to have a stable connection, security, and so forth.

Then, to upgrade the server, will you only need to upgrade the server software? Apparently not since the latest version of Windows Server requires better performance of a server hardware. You might have to upgrade the server hardware as well.


How much would it cost to upgrade the server and  the hardware?

If you chose to upgrade the server and the hardware, you would want to purchase pair of the servers and hardware devices. It is always recommended having redundancy for high availability and backup. I am going to give you an estimated cost for the upgrade in this certain scenario. Let’s say this company has 20 employees and is willing to upgrade their server.

Prices approx. from & MS Windows Server Pricing               Currency in CAD

Initial price would be:

HPE MicroSvr Server Gen10 X 2 Servers = $1680
HPE 2TB SATA HDD X 2 = $255
Windows Server 2019 Standard License X 2 = $2500
CAL for 20 Users = $1500
$5935 in total


Upkeep price would be:

350W * 24 hours per day * 30 days per month * 0.093 dollar per kWh *2 = $570 (per year)

As you can check the price above, it costs a lot for the upgrade and the server operation. You would need to pay for electricity bill, which make it worse. With the hardware and the software, would you be able to manage the server? No, you would also need to hire either in-house IT admin or IT Solution company for the server management. If management fee is included, a total upkeep price will be much more expensive.


Is there any other option for the upgrade?

For sure. There is another option for you. It is getting rid of an old on-premises server. You might wonder that I am crazy, but there is a better solution we would actually recommend to customers. The solution is using a Microsoft Azure subscription. Many of you might already know what the Microsoft Azure is.

Microsoft Azure is a public cloud computing platform—with solutions including Infrastructure as a Service (IaaS), Platform as a Service (PaaS), and Software as a Service (SaaS) that can be used for services such as analytics, virtual computing, storage, networking, and much more. It can be used to replace or supplement your on-premise servers.

Here are some pros of using the Azure.

  • Secure – The cloud server is managed by Microsoft. All you need is a stable internet connection
  • Economical – You only pay what you use
  • Highly available – 99.95 availability & 24/7 tech support
  • Widely Opened – Support most of OS, languages, services, and tools

Microsoft 365 offers a tenant service which is the container for items of your Organization such as users, domains, subscriptions and so forth. When you subscribe Microsoft 365 Business Standard, you get to create a new tenant which will store your organization data. After setting up the tenant, you can choose edition of Azure Active Directory. There are four different editions that you can choose. Let’s say you already have Microsoft 365 subscription. You can use Office 365 applications, such as Word, Excel, PowerPoint, SharePoint, OneDrive, and Teams as well as the tenant service which computer devices will authenticate with.

Microsoft Azure Active Directory Editions | From Microsoft Official Website


How much would it cost for this option?

For this option, you really have nothing to pay for initial price since the server hardware is already there in Microsoft. All you need to do is paying monthly subscription fee for Microsoft Office 365. It costs $16 per user, per month if you chose to use Office 365 Business Standard edition. It is $320 per month for company with 20 employees. The price is pretty reasonable since you do not need to manage the server and pay for operational cost. You would have to hire a person who can manage the Azure AD server for your company, but it would cost less since there is not much thing to set up. The server hardware and software are already ready for you once you start the subscription.


What if you need more storage space or other services?

You can always purchase additional storage spaces from Microsoft if needed. The storage space can be shared with anyone in your organization and setting up permission for the certain data is also available for security purpose. If you wanted to set up strict permission for the employees, you could purchase Azure AD premium edition which provides many more services such as advanced security features, advanced group access management, and conditional access.

Check out Microsoft Azure AD pricing and features here

For small business owners, you can just upgrade your existing old hardware and old version of windows server to newer hardware and software. That still works fine. However, from our experience, migrating the server to cloud platform is more secure and reliable. Keep this in mind, although you purchased the hardware and the software, those will get old and you would have to replace those in 5~10 years. From a cost perspective, it depends on how many services and how much storage space you need, but Azure solution generally encourages less cost.



For more information please contact us

Phone: (604) 757-9823

Email: [email protected]



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