Azure Is Your Cell Phone (And Finance Already Understands It)

Azure Is Your Cell Phone (And Finance Already Understands It)

2025-10-15 ยท ~9 min read

Nobody asks for ROI on paying Verizon instead of building cell towers. But Finance wants ROI on Azure vs on-premises servers. The apps are the business. Azure is just the platform that runs them.

Azure Is Your Cell Phone (And Finance Already Understands It)

Nobody in Finance has ever asked: "What's the ROI of paying Verizon $100/month instead of building our own cell tower network?"

That question is obviously insane. Building cell towers would cost millions. Maintaining them would require specialized staff. Coverage would be limited to wherever you built towers. And you'd still need interconnections to other networks.

So everyone just pays Verizon. Or AT&T. Or T-Mobile.

Nobody questions it. It's OpEx. Monthly payment. Access to global infrastructure. Automatic upgrades to 5G. Self-service (add a line instantly). Works everywhere.

But then Finance asks me: "What's the ROI of Azure vs on-premises servers?"

And I want to scream: "It's the same question! Why are you asking this about cloud but not about cell phones?"

The Questions Finance Never Asks About Cell Phones

Nobody asks:
- "What's the ROI of paying monthly vs building our own cell network?"
- "Cell service costs $100/month but owning towers would be cheaper long-term"
- "Can you prove the OpEx model for phones makes financial sense?"
- "What's the payback period on Verizon vs building infrastructure?"

Everyone accepts:
- Monthly payment makes sense
- You don't own the towers, you use the network
- Global coverage without capital investment
- Automatic technology upgrades (4G โ†’ 5G)
- Self-service provisioning (add lines instantly)
- Scale on demand (family plan for 10 people? No problem)

It's so obvious that nobody even thinks about it.

But With Azure, Finance Suddenly Questions Everything

Finance asks:
- "Why pay monthly when we can own servers?"
- "What's the ROI of cloud vs data center?"
- "Can you prove this OpEx model makes sense?"
- "Show me the break-even analysis"

The same benefits:
- Monthly payment (OpEx)
- You don't own the data centers, you use the platform
- Global coverage without capital investment
- Automatic technology upgrades (hardware refresh handled by Microsoft)
- Self-service provisioning (deploy VMs instantly)
- Scale on demand (10 VMs or 10,000 VMs? No problem)

Why does Finance accept this model for cell phones but question it for cloud?

The Real Reason Nobody Questions Cell Phones

Because nobody thinks the cell phone is the valuable part.

The cell phone is just the platform.

The apps are what matter:
- Banking app (financial access)
- Email (business communication)
- Slack (team collaboration)
- Salesforce mobile (CRM access)
- GPS (logistics and navigation)
- Camera (documentation)

Nobody calculates the ROI of "paying Verizon vs building towers" because everyone understands:

The value isn't in the cell network. The value is in being able to run the apps that run your business.

Cell service is just the platform that enables those apps to work.

Azure Is The Same Thing

Azure is just the platform.

The applications are what matter:
- ERP system (business operations)
- CRM (customer relationships)
- Customer portal (revenue generation)
- Finance systems (compliance and reporting)
- Internal tools (employee productivity)

Finance keeps calculating the ROI of "paying Azure vs owning servers" when they should be asking:

What applications run our business, and what's the best platform to run them on?

The Wrong Calculation

Finance does this:

On-premises servers: $1,840/year
Azure VMs: $1,680/year
Savings: $160/year

Conclusion: Marginal benefit, not worth migration effort

This is like calculating:

Building cell towers: $10M capex, amortized over 10 years = $1M/year
Paying Verizon: $1,200/year per employee ร— 100 employees = $120K/year

Conclusion: We should build our own cell network!

Nobody would make that conclusion because everyone understands the calculation is wrong.

The value isn't in the infrastructure cost. The value is in what the infrastructure enables.

The Right Questions

For cell phones, Finance asks:
- "What business value do we get from mobile access?"
- "Can employees do their jobs without email/Slack/CRM on mobile?"
- "What's the cost of NOT having mobile connectivity?"

Then they conclude: "Obviously we need cell service. Pay Verizon."

For Azure, Finance should ask:
- "What applications run our business?"
- "What's the cost of those applications being down or slow?"
- "What's the best platform to run them reliably?"

Then they would conclude: "Obviously we need reliable infrastructure. Azure makes sense."

What Nobody Prices: The Apps Without The Platform

Your cell phone without service:
- $1,000 device
- Beautiful screen
- Powerful processor
- Does absolutely nothing useful
- Can't run any of the apps that matter

Value: $0 (it's a paperweight)

Your cell phone WITH Verizon:
- Same $1,000 device
- Plus $100/month service
- Now it runs banking, email, Slack, GPS, camera
- Enables you to do your job from anywhere

Value: Essential business tool

The $100/month isn't the cost of the platform. It's the cost of making the apps work.


Your Azure infrastructure without applications:
- Expensive VMs running
- Monthly OpEx
- Sitting there doing nothing
- No business value

Value: Waste of money

Your Azure infrastructure WITH applications:
- Same VM costs
- But now running ERP, CRM, customer portals, finance systems
- Enables your business to operate

Value: Essential business infrastructure

The monthly Azure cost isn't the cost of VMs. It's the cost of running the applications that run your business.

Why Finance Gets Cell Phones But Not Cloud

I think it's because everyone uses a cell phone personally.

Everyone has experienced:
- Phone without service = useless
- Phone with service = essential
- Apps are what matter, network is what enables them
- Monthly payment is just the cost of making apps work

But most Finance people have never:
- Provisioned Azure infrastructure
- Deployed business applications to cloud
- Experienced the difference between working infrastructure and broken infrastructure
- Felt the pain of applications going down because servers failed

So they see "Azure monthly cost" and compare it to "server purchase price" without understanding:

The servers aren't the thing. The applications running on them are the thing.

Azure is just the platform. Like Verizon is just the platform.

The Conversation Finance Should Have

Instead of: "What's the ROI of Azure vs servers?"

It should be: "What applications run our business?"

Answer: ERP, CRM, customer portals, finance systems, HR systems, internal tools.

Follow-up: "What happens if those applications are down?"

Answer: Business stops. Revenue stops. Customers are impacted. Compliance risk.

Follow-up: "What's the most reliable platform to run them on?"

Answer: Azure (or AWS, or Google Cloud - pick one, but cloud is more reliable than our 5-year-old servers in the basement).

Conclusion: "Pay Microsoft. Same reason we pay Verizon. It's the platform that runs the things that actually matter."

The Cell Phone Analogy Finance Already Accepts

Finance accepts this logic for cell phones:

  1. Employees need mobile apps to do their jobs
  2. Apps require cell network infrastructure
  3. Building our own cell network is insane
  4. Therefore, pay Verizon monthly
  5. OpEx is cheaper than CapEx for infrastructure we don't specialize in
  6. Move on to more important questions

Finance should accept the same logic for cloud:

  1. Business needs applications to operate
  2. Applications require infrastructure
  3. Building our own data centers is inefficient
  4. Therefore, pay Microsoft monthly
  5. OpEx is cheaper than CapEx for infrastructure we don't specialize in
  6. Move on to more important questions

What Changes When You Frame It This Way

Wrong framing (what Finance does):
"Azure costs more per VM than owning servers. ROI is negative."

Right framing:
"Our business runs on applications. Those applications need infrastructure. What's the best platform?"

The decision changes from:
"Can we justify the cost of cloud infrastructure?"

To:
"What's the best way to run the applications our business depends on?"

And suddenly the comparison is:

Option A: Run apps on aging on-prem servers
- Hardware failures during business-critical periods
- 6-month procurement cycles when capacity is needed
- IT team spending time babysitting RAID arrays
- Limited scalability
- No geographic redundancy

Option B: Run apps on Azure
- Microsoft handles hardware reliability
- Provision capacity in minutes
- IT team focuses on application optimization
- Scale globally on demand
- Built-in disaster recovery

When you frame it as "platform for business applications" instead of "infrastructure cost," the decision is obvious.

The Question That Ends The Debate

Next time Finance asks for Azure ROI, ask them this:

"Do you ask for ROI on cell service vs building your own towers?"

When they say no, ask why.

They'll say: "Because building cell towers is obviously not our business. We pay experts (Verizon) to handle that infrastructure so we can focus on our actual business."

Then say: "Exactly. And building data centers isn't our business either. We pay experts (Microsoft) to handle that infrastructure so we can focus on running the applications that run our business."

They'll either:
1. Get it immediately
2. Or start arguing we should build our own cell tower network (in which case, good luck)

The Bottom Line

Azure isn't infrastructure you buy. It's a platform you use to run your business.

Just like cell service isn't infrastructure you build. It's a platform you use to run your apps.

Finance already understands this for cell phones:
- Apps are the value
- Network is the enabler
- Monthly payment makes sense
- Nobody questions it

Finance should understand the same thing for cloud:
- Applications are the value
- Azure is the enabler
- Monthly payment makes sense
- Stop questioning it

The apps are your business. Azure is just the platform that runs them.

Finance pays Verizon $100/month without a second thought. They should think about Azure the same way.


Want more on why Finance's cloud ROI calculations miss the point? Read Why Your Azure Migration ROI Calculation Is Wrong for the complete breakdown of what Finance doesn't see in the spreadsheet.

Or check out Azure Costs: Apps Not Subscriptions for why you need to count applications before you design subscriptions.

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