GitHub's March 4th announcement was expert-level customer fucking without technically lying. They called it "modularity" - splitting one $40/month security package into two separate charges totaling $49/month.
Here's what actually happened to our budget:
- Before: GitHub Enterprise $21 + Advanced Security $40 = $61/user/month
- After: GitHub Enterprise $21 + Secret Protection $19 + Code Security $30 = $70/user/month
- Reality: Same features, over $100K more annually for 1,000 users
The "Free Tier" Trap That Gets Everyone
GitHub's "unlimited repositories" sounds great until you actually use it. GitHub's free tier gives you 2,000 CI/CD minutes monthly and 500MB storage. That's enough for maybe 10 developers doing minimal CI/CD - basically toy projects.
We burned through those 2,000 minutes in 6 days with 25 developers running standard CI/CD pipelines. Storage hit the limit when someone committed a 600MB Docker image to the wrong repo (thanks, Steve). GitHub's overage billing kicked in immediately at $0.08/minute. Suddenly you're paying overage costs or forced to upgrade.
GitLab's free tier is even more restrictive: 400 minutes and 10GB storage with a 5-user limit for private repos. Their September 2025 pricing structure shows they're doubling down on forcing upgrades - they added AI features to paid tiers while keeping the free tier deliberately constrained.
Self-Hosted: Great Idea Until You Actually Do It
Everyone thinks self-hosting will save money until they realize what's actually involved. We looked at self-hosted GitLab after getting tired of cloud pricing. The math looked promising:
- Cloud GitLab Ultimate: Nearly $600K/year for 500 users
- Self-hosted: Around $45K license + infrastructure
Sounds like a no-brainer, right? Wrong.
Reality check: Self-hosted GitLab needs 32GB RAM minimum or it crawls like a dying laptop. Our first attempt with 16GB was a joke - merge requests took forever to load, maybe 30 seconds on a good day. Then you need backup storage that doesn't shit the bed, SSL certs that don't expire during your vacation, and security patches that occasionally break everything. Plus someone who actually knows PostgreSQL, which is basically finding a unicorn these days.
By the time we factored in infrastructure costs (probably $3-5K/month) and a dedicated DevOps engineer ($120K+/year), we were barely breaking even at 300+ users. Break-even for GitHub Enterprise Server is even worse - closer to 400 users due to higher operational complexity.
The Compliance Tax Is Real
Regulated industries get screwed the hardest. Banking and healthcare can't use free tiers - period. GitHub Enterprise Cloud includes SOC 2 Type 2 and FedRAMP, but you're paying enterprise prices from day one.
Financial services clients I've worked with typically see 25-40% cost premiums for:
- Premium support contracts (because regular support is useless when you're down)
- Extended audit logging (180 days minimum, usually 7 years)
- Dedicated customer success managers (translation: someone who actually answers the phone)
- Data residency guarantees (your code stays in your region)
A 100-person fintech startup ends up paying enterprise prices ($8K+/month minimum) when they should be on a startup plan. Compliance doesn't care about your budget.