Can cloud computing prices go any lower?

Cloud computing prices can only go up from here, according to an analysis in IT World that looks at price changes at Amazon, Google,  Rackspace and others.

Price reductions in storage were about 20 percent; cuts in the cost of bandwidth were about 50 percent and the charges for database services dropped more than 30 percent.

According to the author, Nancy Gohring (who was using research from vendor RightScale), cuts in those services may have come close enough to the bone there will be no more reductions. But it is likely cuts will still come in the area of ancilary services like caching and IP address management.