AWS EC2 Pricing Models

Learn about On-Demand, Reserved, Spot instances, and Savings Plans to optimize your cloud costs.

ec2-pricing-config.json

{

"EC2Pricing": {

"OnDemand": "Pay by hour",

"Spot": "Up to 90% discount",

"Reserved": "Up to 75% discount"

}

}

ec2-pricing-config.json

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Tutor:EC2 offers multiple pricing models to optimize costs based on your workload requirements. The main pricing models are On-Demand, Reserved Instances, and Spot Instances.

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Concept 1: Pricing Basics

EC2 offers multiple pricing models to optimize costs based on your workload requirements. The main pricing models are On-Demand, Reserved Instances, and Spot Instances.

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Which pricing model offers the highest discount?

On-DemandSpot InstancesReserved InstancesDedicated Instances

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AWS EC2 Pricing Models (On-Demand, Spot, Reserved)

Pascual Vila

Cloud Instructor.

EC2 offers multiple pricing models to optimize costs based on your workload requirements. The main pricing models are On-Demand, Reserved Instances, and Spot Instances.

On-Demand Instances

On-Demand Instances allow you to pay for compute capacity by the hour or second with no long-term commitments. This is ideal for applications with short-term, spiky, or unpredictable workloads.

Reserved Instances

Reserved Instances provide significant discounts (up to 75%) compared to On-Demand pricing. You commit to a 1-year or 3-year term. Types include Standard, Convertible, and Scheduled Reserved Instances.

Spot Instances

Spot Instances allow you to request unused EC2 capacity at up to 90% discount. However, AWS can interrupt your instances with a 2-minute notice when capacity is needed elsewhere.

EC2 Pricing Glossary

On-Demand Instances: Pay for compute capacity by the hour or second with no long-term commitments. Ideal for short-term, spiky, or unpredictable workloads.
Reserved Instances: Provide significant discounts (up to 75%) compared to On-Demand pricing. Require a 1-year or 3-year commitment.
Spot Instances: Allow you to request unused EC2 capacity at up to 90% discount. Can be interrupted with 2-minute notice.
Savings Plans: Flexible pricing that offers savings up to 72% on AWS compute usage. You commit to a consistent amount of compute usage for a 1-year or 3-year term.
Dedicated Instances: Run on hardware dedicated to a single AWS account. Provide isolation at the hardware level.