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Press Release

DiscountCloud: Costco for Cloud Compute

DiscountCloud, Save 5% on every Cloud.

May 1, 2025 - DiscountCloud launches to provide discounts on cloud compute for a monthly fee. DiscountCloud charges either $99/month or $499/month fee and passes back the 5% savings it receives from AWS, Azure, and Google Cloud. These savings can add up to thousands of dollars a year for the customer.

Traversing software discounts and working with distributors is not easy for SMBs as the systems that these companies use for discounts are legacy and complex. Furthermore, our competitors in this space are also small leading to a limit on how much discounts can be passed through. With savings available as an example there is significant savings that SMBs can derive which they are not receiving.

DiscountCloud attempts to turn the software discounting on its head. A single fixed subscription fee is charged every month. With this subscription our customers are able to get the majority of the discount that the cloud vendor provides. In return the Cloud vendor gets a single line item for their payments.

“We are able to return significant value to our customers with the relationships we built with software vendors and distributors,” says Abhi Yerra, CEO of DiscountCloud.

“We were able to save thousands of dollars a month and use that to hire additional headcount,” says Chris a CFO at a tech firm.

Using DiscountCloud is simple. Login with your company’s email. Pay the fee and then connect your AWS, Azure, or Google Cloud account with minimal setup.

External FAQ

Who is DiscountCloud for?​

DiscountCloud is built specifically for finance teams at organizations that uses AWS, Azure or Google Cloud who don't have a lot of resources to dedicate to optimizing their bills. We want to make it as easy as possible for these teams to get discounts without much to any engineering work.

How does DiscountCloud work?​

We partner with software distributors like Ingram Micro, Pax8, and Arrow to get significant discounts on AWS, Azure, and Google Cloud. With these distributors we are able to negotiate group pricing where we can get discounts the more compute we purchase. As a result we add customers to our pool of compute and get a discount on the compute. We then pass this discount back to our customers.

How do I get started?​

  1. Sign up for DiscountCloud for $99/month or $499/month.
  2. Connect your AWS, Azure, or Google Cloud account to Ingram Micro, Pax8, or Arrow.
  3. Pay your cloud bill at MSRP to DiscountCloud.
  4. DiscountClout gets a discount from the distributor based on the amount of compute used.
  5. DiscountCloud passes the discount back to you.

Internal FAQ

What happens if a customer encounters x? How does the product deal with use case x? (there are likely to be several such questions).​

What are the challenging product engineering problems we will need to solve?​

There are a few challenges we will need to solve:

  1. The APIs for Pax8, Ingram Micro, and Arrow are not well documented. We will need to work with them on ensuring that we are correctly tracking payments.

What are the challenging customer UI problems we will need to solve?​

  1. The problem we have is that a lot of the AWS integrations are a bit manual. If we are using Ingram Micro for AWS billing there are two different flows for onboarding customers. The single account and the AWS organization. These single account is easy, but the multi-account is a bit more complex. We will need to work with Ingram Micro to ensure that we are able to get the correct billing information.
  2. How do we ensure that the customer is able to get the correct billing information? We will need to work with Ingram Micro and Pax8 to ensure that we are able to get the correct billing information.
  3. How do we surface non-discounted items?
  4. How do we deal with the different clouds for Azure and Google Cloud?
  5. How do we deal with different billing cycles.

How will we manage the risk of the upfront investment required?​

  1. We will need to build this slowly with a few customers. As we develop our capabilities we can expand to more customers.

Do we have any third-party dependencies to build this product? If so, what are they and why will they be willing to partner with us (what is in it for them)?​

These are software distributors and their role is to provide the discounts to their partners.

What third-party technologies are we dependent on to function properly for x to work as promised?​

We need to ensure that the APIs for Ingram Micro, Pax8, and Arrow are working correctly and are not changing.

We will need to consider tax implications of the discounts we are providing.

What is the rationale for the price point you have chosen for the product?​

We believe that the price point we have ensures a level of commitment from the customer. It also acts as a way to provide a ROI for referrals that is actually meaningful.

How much will we have to invest up front to build this product?​

We will need to invest in the following:

  1. Simple single user / company onboarding flow.
  2. Connect to Ingram Micro, Pax8, and Arrow.
  3. Connect to Stripe for payments.

What/who are the current competitors for this product?​

Revenue​

Why give away the discount?​

Our goal is to get paid now and create a long NET term to pay later to create a negative cash conversion cycle. This means we can invest the money we get and make interest or use the cash flow to get additional loans from banks to invest in other opportunities.

How do grow the company?​

A crowdsourced referral team who will get paid a commission for bringing in new customers. This alleviates the need for a large sales team and we can leverage insiders who may want to work with us. This will be a simple referral program where we directly pay the referrer a percentage of the monthly fee. We will still make money on the margin between the discount we get and the discount we give to the customer.

Who can we work with?​

We can work with the following companies:

  • Dev Agencies
  • ISVs
  • Incubators / VCs
  • Engineers

Support​

How do we ensure that customers pay?​

We may need to do a financial audit of some kind to verify that the customer can pay. This is not a complex product but it is based on having a pool of capital. So basically we have partnered with a bunch of software distributors: Ingram Micro, Pax8, and Arrow. These companies provide significant discounts on AWS, Azure, Google Cloud, Google Workspace, etc. but nearly all of them are focused on selling to bigger companies. We also have gone through a lot of the certifications, etc. that would get us the additional discounts etc.

Ledger​

How much will we make and customer save?​

DiscountCloud Financial Model

AWS​

How do we payback AWS?​

  1. Bill MSRP on the 5th
  2. Refund discount on the 18th
  3. Pay Ingram a month after that.

What are not discounted for AWS?​