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Cost of downtime

As explained in 100 SQL Server Mistakes and How to Avoid Them

Cost of downtime is the financial impact incurred while an application is unavailable, including lost revenue and other consequences.

Mistake #90: choosing an availability target without pricing an outage. Five nines sounds safer, but reaching it may require expensive geographically dispersed redundancy and private links that are not cost-effective for every application. section 13.2

Calculate tangible cost from lost revenue: multiply monthly sales by 12, then divide by 8,760 hours. Add harder-to-measure effects such as lost customers, morale, reputation, and regulatory exposure; a common estimate multiplies tangible cost by three. section 13.2

A $1,000-per-hour sales application

If downtime costs $1,000 per hour, compare the application’s lifecycle outage cost with the infrastructure required for each availability level rather than automatically buying the highest target. section 13.2

Table 13.1 Levels of availability (view table figure)

Level of availability

Downtime per week

Downtime per month

99%

1 hour, 40 minutes, 48 seconds

7 hours, 18 minutes, 17 seconds

99.9%

10 minutes, 4 seconds

43 minutes, 49 seconds

99.99%

1 minute

4 minutes, 23 seconds

99.999%

6 seconds

26 seconds

Compare availability targets with their corresponding weekly and monthly downtime. section 13.2

Table 13.2 Comparing the cost of downtime (view table figure)

Level of availability

Total cost of downtime

Cost of HA/DR solution

Cost of downtime + HA/DR solution

99%

$262,810

$0*

$262,810

99.9%

$26,290

$89,193

$115,483

99.99%

$2,630

$100,389

$103,019

99.999%

$259

$301,167

$301,696

Compare total downtime cost against high-availability and disaster-recovery investment. section 13.2

How 100 SQL Server Mistakes and How to Avoid Them covers it

How deep it goes
Calculates hourly tangible loss, estimates intangible impact, and compares availability levels with infrastructure costs.
Examples
Uses a sales application, cloud-server uptime, availability tables, and a $1,000-per-hour outage scenario.
What it assumes
Assumes monthly sales and lifecycle estimates while teaching tangible and intangible cost categories from basic business data.
What you can do after
Evaluate availability targets by calculating outage cost and comparing it with HA/DR infrastructure costs.
How it connects
Connects availability requirements with high availability, disaster recovery, redundancy, service-level agreements, and revenue.

Related concepts

This explainer was generated by Manning's knowledge graph from the text of 100 SQL Server Mistakes and How to Avoid Them. The section links point to the parts of the book it draws on.