Cost Model
A cost model is a conceptual or mathematical framework used to estimate, analyze, and predict the costs associated with a system, project, or operation, often in software development, cloud computing, or business contexts. It helps quantify resource usage, such as compute time, memory, storage, or network bandwidth, to inform budgeting, optimization, and decision-making. In computing, it's commonly applied to evaluate algorithm efficiency, cloud service pricing, or infrastructure expenses.
Developers should learn cost modeling to optimize resource allocation and control expenses in cloud-based applications, where inefficient code or architecture can lead to high operational costs. It's crucial for performance tuning, selecting cost-effective services (e.g., AWS vs. Azure), and making trade-offs in system design, such as balancing speed against memory usage. Understanding cost models also aids in budgeting for projects and justifying technical decisions to stakeholders.