When comparing IT infrastructure models, there are two types of expenses to consider. Capital expenditure (CapEx) and operational expenditure (OpEx).

CapEx is typically a one-time, up-front expenditure to purchase or secure tangible resources. A new building, repaving the parking lot, building a datacenter, or buying a company vehicle are examples of CapEx.

In contrast, OpEx is spending money on services or products over time. Renting a convention center, leasing a company vehicle, or signing up for cloud services are all examples of OpEx.

Anup Maurya Changed status to publish May 17, 2024