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11 · Compute & Storage Cost Optimization — Revise

Cost · 20% · Compressed recall. Read the Learn guide first.

EC2 purchasing

Model Commit Discount Best for
On-Demand none 0 Short/spiky/unpredictable
Reserved (RI) 1/3 yr up to ~72% Steady, always-on baseline
Savings Plans 1/3 yr ($/hr) up to ~72% Steady + flexibility
Spot none (interruptible) up to ~90% Fault-tolerant, stateless, batch
Dedicated Host/Instance opt most $ Licensing/compliance only

RI vs SP: Standard RI = biggest but rigid; Convertible RI = flexible family, less discount. Compute Savings Plan = most flexible (any family/Region/OS + Fargate + Lambda); EC2 Instance SP = family-locked, bigger discount.

Predictable always-on?   → RI / Savings Plan
Interruptible batch?     → Spot (2-min warning)
Short / unpredictable?   → On-Demand
Flexibility + savings?   → Compute Savings Plan
Mixed workload?          → baseline on RI/SP + burst On-Demand/Spot

Storage cost

Lever Use
S3 lifecycle Transition/expire by age (predictable)
S3 Intelligent-Tiering Unknown/changing access (no retrieval fee)
gp3 over gp2 Cheaper for same perf
Delete unattached EBS / unassociated EIP Remove waste
Compute Optimizer Right-sizing recommendations
S3 Storage Lens Storage cost visibility

Flashcards

Steady 24/7 for a year — cheapest? Reserved Instances or a Savings Plan (1/3-yr commitment).
Fault-tolerant batch, cheapest compute? Spot Instances (up to ~90% off; 2-min interruption notice).
Commitment savings but flexible across families/Regions + Fargate/Lambda? Compute Savings Plan.
Predictable-by-age data lifecycle vs unknown pattern? Predictable → S3 lifecycle transitions. Unknown → Intelligent-Tiering.
Right-size EC2/EBS/Lambda by utilization? AWS Compute Optimizer.
Is Spot safe for stateful production? No — it can be reclaimed anytime. Only fault-tolerant/stateless work.
gp2 or gp3 for cost? gp3 — cheaper for equivalent performance.

Common traps

  • Steady → RI/SP; interruptible → Spot; short → On-Demand. Mix for mixed workloads.
  • Spot up to 90% off but reclaimable (2 min).
  • Compute Savings Plan = most flexible; Standard RI = biggest but rigid.
  • Lifecycle (predictable) vs Intelligent-Tiering (unknown).
  • gp3 < gp2 cost; delete unattached volumes / EIPs.
  • Dedicated Hosts are NOT a cost play (licensing/compliance).