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Amazon EC2 Purchasing Option

Updated: Jul 29, 2021

Amazon EC2 provides various purchasing options to optimize your costs. One has to choose the right purchasing option based on the workload.

Knowing these can help you recommend a right cost optimisation strategy based on your workload. Also this can be a valuable input while migrating to AWS Cloud.

On-Demand Instances – Pay, by the second, for the EC2 instances that are launched on-demand.

Savings Plans – Reduce EC2 instance costs by making a commitment to a consistent amount of usage, in USD per hour, for a term of 1 or 3 years.

Reserved Instances – Reduce EC2 instance costs by making a commitment to a consistent instance configuration, including instance type and Region, for a term of 1 or 3 years.

Spot Instances – Request/bid for unused EC2 instances, which can reduce EC2 costs significantly.

Dedicated Hosts – Pay for a physical host that is fully dedicated to running your instances, and bring your existing per-socket, per-core, or per-VM software licenses to reduce costs.

Dedicated Instances – Pay, by the hour, for instances that run on single-tenant hardware.

Capacity Reservations – Reserve capacity for EC2 instances in a specific Availability Zone for any duration.

For your convenience this is also available at Amazon EC2 Purchasing Options

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Very useful !


Good Info

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