Estimation question
Estimate the cost of storing Google Photos on the photos app.
- Estimation
- Medium
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What this question tests
Estimation combining total photo volume, storage cost per gigabyte, and scale of a specific product.
How to approach it
- Estimate total users and average storage used per user, for example 1 billion users averaging 10 gigabytes stored each.
- Compute total storage volume, 1 billion times 10 gigabytes gives 10 exabytes of stored data.
- Estimate cost per gigabyte of cloud storage at this scale, much lower than consumer cloud pricing due to infrastructure efficiency, a few cents per gigabyte a year.
- Multiply total storage by cost per gigabyte to estimate total annual storage cost.
- State the result as a range and note this excludes compute costs like image indexing and search.
What a strong answer includes
- Breaks the estimate into total data volume first, then applies a cost per gigabyte figure specific to large scale infrastructure, not retail pricing.
- Shows the math, 10 exabytes times an assumed cost per gigabyte a year gives roughly $200 million a year, clearly marked as a rough assumption.
- Notes the estimate excludes related costs like deduplication, compression, and machine learning processing for photo search.
Common mistakes
- Using consumer cloud storage retail prices instead of internal infrastructure cost, which is far lower.
- Not estimating total data volume first before applying a cost rate.
- Ignoring that deduplication and compression likely reduce the effective stored volume.
Likely follow-up questions
- How would deduplication and compression change this estimate?
- How would you separate storage cost from the cost of running photo search and facial recognition?
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Learn the skill behind it
Chapters of the AI PM course that teach what this question tests.
- Chapter 2: Data fluency: SQL, logs, and reading the truth yourself
- Chapter 9: Prove it paid off: outcomes, economics, and pricing
- Chapter 14: Get the job: the AI PM interview loop