Answer: Trade fixed expense for variable expense

The company is benefiting from **Trade fixed expense for variable expense** because: - **Fixed expenses** are costs that remain constant regardless of usage (like maintaining physical data centers) - **Variable expenses** are costs that change based on actual usage (paying for AWS services only when needed) - In cloud computing, companies eliminate upfront capital expenditures for hardware and instead pay operational expenses based on actual consumption - This "pay-as-you-go" model allows companies to scale costs up or down based on business needs, providing better cost optimization and financial flexibility This is one of the six core advantages of cloud computing according to AWS Well-Architected Framework.

Author: Ritesh Yadav