- A
Elimination of hardware maintenance labor costs
Cloud reduces or eliminates the need for on-premises hardware maintenance staff.
- B
Increased latency due to network distance
Why wrong: Latency is a performance trade-off, not a direct cost consideration.
- C
Reduction in data center power and cooling expenses
Cloud providers handle facility costs, reducing your expenses for power and cooling.
- D
Licensing costs for software that may not be compatible with cloud
Why wrong: This is a potential hidden cost but is not a standard cost-saving factor; it may increase costs.
- E
Requirement to redesign applications for cloud-native services
Why wrong: This is an architectural consideration, not a direct cost comparison factor.
Cloud Digital Leader Fundamental cloud concepts Practice Question
This GCDL practice question tests your understanding of fundamental cloud concepts. The scenario asks you to isolate a root cause — eliminate options that address a different problem before choosing. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A large enterprise is evaluating moving its data analytics workloads to Google Cloud. Which TWO factors should they consider when comparing on-premises costs to cloud costs? (Choose two.)
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Elimination of hardware maintenance labor costs
Option A is correct because moving analytics workloads to Google Cloud eliminates the need for the enterprise to maintain its own hardware, including servers, storage, and networking equipment. This removes direct labor costs for tasks such as hardware troubleshooting, firmware updates, and physical repairs, which are instead handled by Google's infrastructure teams. This is a direct operational expenditure (OpEx) saving compared to the capital expenditure (CapEx) and ongoing maintenance of on-premises hardware.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Elimination of hardware maintenance labor costs
Why this is correct
Cloud reduces or eliminates the need for on-premises hardware maintenance staff.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Increased latency due to network distance
Why it's wrong here
Latency is a performance trade-off, not a direct cost consideration.
- ✓
Reduction in data center power and cooling expenses
Why this is correct
Cloud providers handle facility costs, reducing your expenses for power and cooling.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Licensing costs for software that may not be compatible with cloud
Why it's wrong here
This is a potential hidden cost but is not a standard cost-saving factor; it may increase costs.
- ✗
Requirement to redesign applications for cloud-native services
Why it's wrong here
This is an architectural consideration, not a direct cost comparison factor.
Common exam traps
Common exam trap: answer the scenario, not the keyword
Google Cloud often tests the distinction between direct cost factors (like hardware maintenance and power/cooling) and indirect considerations (like latency, licensing compatibility, and application redesign) to see if candidates can separate TCO line items from migration risks or performance trade-offs.
Detailed technical explanation
How to think about this question
When comparing on-premises to cloud costs, enterprises must account for the total cost of ownership (TCO), which includes not only hardware and labor but also indirect costs like data center real estate, power distribution units (PDUs), uninterruptible power supplies (UPS), and cooling systems (HVAC). Google Cloud's pricing model for analytics workloads, such as BigQuery, uses a pay-as-you-go structure where compute and storage are billed separately, allowing enterprises to eliminate idle capacity costs that are common in on-premises deployments. A real-world scenario is a company running Apache Spark on-premises; migrating to Google Cloud Dataproc can reduce costs by eliminating the need to provision for peak load and by leveraging preemptible VMs for batch jobs.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
TExam Day Tips
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.
What to study next
Got this wrong? Here's your next step.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
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FAQ
Questions learners often ask
What does this GCDL question test?
Fundamental cloud concepts — This question tests Fundamental cloud concepts — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Elimination of hardware maintenance labor costs — Option A is correct because moving analytics workloads to Google Cloud eliminates the need for the enterprise to maintain its own hardware, including servers, storage, and networking equipment. This removes direct labor costs for tasks such as hardware troubleshooting, firmware updates, and physical repairs, which are instead handled by Google's infrastructure teams. This is a direct operational expenditure (OpEx) saving compared to the capital expenditure (CapEx) and ongoing maintenance of on-premises hardware.
What should I do if I get this GCDL question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Last reviewed: Jun 30, 2026
This GCDL practice question is part of Courseiva's free Google Cloud certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the GCDL exam.
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