Why the Traditional Capex Model No Longer Fits

Capital expenditure assumes predictability: steady demand, long equipment lifecycles and stable workflows. Post-production today looks very different.

Studios must now accommodate:

• peaks and troughs in project volume
• short‑term scale for delivery deadlines
• distributed teams and remote collaboration
• rapidly evolving creative and technical requirements

Owning infrastructure sized for peak demand often means expensive hardware sitting under‑utilised outside of peak periods. At the same time, refreshing that infrastructure every few years places ongoing strain on cash flow and budgets.

Capex also locks organisations into decisions made years earlier – decisions that may no longer reflect how, where or even what work is being delivered.

The Opex Advantage: Paying for What You Actually Use

Shifting infrastructure spend to an operational expenditure model allows post houses to align costs directly with activity.

With IaaS, services such as remote workstations, high‑performance storage, archiving and on‑demand render are consumed as needed, rather than owned outright. This delivers several immediate benefits:

• Improved cash flow: No large upfront investment
• Predictable monthly costs: Easier budgeting and forecasting
• Elastic scaling: Scale up for delivery, scale down afterwards
• Faster access to capability: No procurement or deployment delays

This model supports creative ambition without requiring permanent infrastructure expansion – particularly valuable for studios managing multiple short‑form or high‑intensity projects.

Enabling Modern Workflows

Financial flexibility is only part of the story. The Capex‑to‑Opex shift also enables fundamental changes in how post houses operate.

Remote workstations allow artists to securely access high‑performance environments from anywhere, removing the need to be physically tied to a single facility. Shared, cloud‑based storage and archiving enable teams to collaborate globally while maintaining control, security and performance. On‑demand render allows studios to meet deadlines without owning hardware that sits idle once a project completes.

Together, these services support:

• Hybrid and remote working models
• Faster onboarding of freelancers and partners
• Reduced dependency on physical location
• Greater resilience and business continuity

The result is an infrastructure that adapts to people and projects – not the other way around.

Sustainability: Doing More with Less

The financial shift from Capex to Opex also has clear sustainability benefits.

Traditional on‑premise infrastructure requires continuous power, cooling, space and maintenance, regardless of utilisation. Consumption‑based infrastructure reduces waste by aligning resource use with real demand.

By using shared, efficiently managed platforms for compute, storage and render, post houses can:

• Reduce energy consumption
• Minimise hardware over‑provisioning
• Lower physical footprint
• Avoid unnecessary equipment refresh cycles

Sustainability is not just about reduction, it’s about smarter design. Flexible, on‑demand infrastructure supports more responsible resource use without compromising creative output.

A Values‑Led Approach to Technology

At ERA, our approach to IaaS is shaped by more than performance and cost. As a Certified B Corporation, we believe that long‑term success comes from balancing commercial outcomes with responsibility to people, communities and the planet.

That means:

• Designing infrastructure that supports inclusion and accessibility
• Enabling fair access to enterprise‑grade capability for studios of all sizes
• Building systems that are resilient, efficient and sustainable by design
• Providing real human support, not just platforms

The shift from Capex to Opex is not just a financial decision – it’s a strategic one that reflects how organisations want to work, grow and contribute in the future.

Preparing for What Comes Next

The post‑production industry will continue to evolve, shaped by changing audience demands, tighter budgets and increasing expectations around sustainability and flexibility.

Studios that embrace operational, on‑demand infrastructure are better positioned to respond financially, creatively and responsibly.

Moving from Capex to Opex is not about giving something up. It’s about gaining agility, resilience and control and building an infrastructure foundation that supports both creative excellence and long‑term impact.

If the systems behind creativity are flexible, fair and well‑supported, creativity itself is free to thrive.