TestingBudget

Total Cost

Analysis horizon

How many years the comparison runs over — five by default — and the total cost of ownership across them.

Unit
years
Where you enter it
Settings, "Analysis horizon (years)". The total is shown on the Total Cost tab.

What it means

The number of years the model projects, set in Settings. The horizon total is the build cost plus the ongoing cost for every year of the horizon; the projection chart plots it cumulatively so the point where one vendor overtakes another is visible as a crossing.

It is the same for every vendor and every application in the workspace.

Why it matters to the cost

The horizon decides the winner. Over one year the cheapest build wins; over five, the lowest ongoing cost usually does, because it is paid four more times. Three to five years matches most tool contracts and most planning cycles; beyond that the estimates are not precise enough to mean much.

Typical values

Five years by default; three to five in practice.

Typical values describe a category of tool — AI-native, codeless, script-based, homegrown, manual — never a named product. Why we do not price named products.

Where it appears in the model

Totals, per application

Analysis horizon
Build cost + Annual ongoing cost × years in the horizon — the total over the horizon

Every name is a link to its definition. See the whole model.

Try it with your numbers

Analysis horizon is a row in the calculator. Change it and every total on the page moves with it — free, in your browser, nothing to install.

See how analysis horizon impacts the calculation of test automation costs

Last reviewed 2026-09-15. All terms.