Abstract: Computing has been driven by cost reduction for the last 70 years. In the next 10 years the contribution to cost reduction by hardware technology will lessen because of economic constraints and physical limits. The reduction in costs offered by automation and cloud computing will be discussed. The “Born in the Cloud” and open source programming development models are significantly reducing the cost of application development. Mobile computing and API’s are radically changing how information technology is consumed and developed. The direction of information technology is now being driven more by new business ideas than new technology ideas. The traditional Specmark metrics are being replaced by cost of use metric such as $/VM Hour.