Pricing & Billing Flashcards
Pricing Models in AWS
AWS has 4 pricing models:
1. Pay as you go: pay for what you use, remain agile, responsive, meet scale demands
2. Save when you reserve: minimize risks, predictably manage budgets, comply with long-terms requirements
* Reservations are available for EC2 Reserved Instances, DynamoDB Reserved Capacity, ElastiCache Reserved Nodes, RDS Reserved Instance, Redshift Reserved Nodes
3. Pay less by using more: volume-based discounts
4. Pay less as AWS grows
Free services & free tier in AWS
- IAM, VPC, Consolidated Billing
- Elastic Beanstalk, CloudFormation, Auto Scaling Groups (You do pay for the resources created)
- Free Tier: EC2 t2.micro instance for a year, S3, EBS, ELB, AWS Data transfer
Compute Pricing – EC2
-
On-demand instances:
* Minimum of 60s
* Pay per second (Linux/Windows) or per hour (other) -
Reserved instances:
- Up to 75% discount compared to On-demand on hourly rate
- 1- or 3-years commitment
- All upfront, partial upfront, no upfront
-
Spot instances:
- Up to 90% discount compared to On-demand on hourly rate
- Bid for unused capacity
-
Dedicated Host:
- On-demand
- Reservation for 1 year or 3 years commitment
- Savings plans as an alternative to save on sustained usage
- Only charged for what you use
- Number of instances
- Instance configuration:
- Physical capacity
- Region
- OS and software
- Instance type
- Instance size
- ELB running time and amount of data processed
- Detailed monitoring
Compute Pricing – Lambda & ECS
-
Lambda:
- Pay per call
- Pay per duration
- ECS: EC2 Launch Type Model: No additional fees, you pay for AWS resources stored and created in your application
- Fargate: Fargate Launch Type Model: Pay for vCPU and memory resources allocated to your applications in your containers
Storage Pricing – S3
- Storage class: S3 Standard, S3 Infrequent Access, S3 One-Zone IA, S3 Intelligent Tiering, S3 Glacier and S3 Glacier Deep Archive
- Number and size of objects: Price can be tiered (based on volume)
- Number and type of requests
- Data transfer OUT of the S3 region
- S3 Transfer Acceleration
- Lifecycle transitions
- Similar service: EFS (pay per use, has infrequent access & lifecycle rules)
Storage Pricing - EBS
- Volume type (based on performance)
- Storage volume in GB per month provisionned
-
IOPS:
- General Purpose SSD: Included
- Provisioned IOPS SSD: Provisionned amount in IOPS
- Magnetic: Number of requests
- Snapshots: Added data cost per GB per month
- Data transfer: Outbound data transfer are tiered for volume discounts. Inbound is free
Database Pricing - RDS
- Per hour billing
- Database characteristics:
- Engine
- Size
- Memory class
- Purchase type:
- On-demand
- Reserved instances (1 or 3 years) with required up-front
- Backup Storage: There is no additional charge for backup storage up to 100% of your total database storage for a region.
- Additional storage (per GB per month)
- Number of input and output requests per month
-
Deployment type (storage and I/O are variable):
- Single AZ
- Multiple AZs
-
Data transfer:
- Outbound data transfer are tiered for volume discounts
- Inbound is free
Content Delivery – CloudFront Pricing
- Pricing is different across different geographic regions
- Aggregated for each edge location, then applied to your bill
- Data Transfer Out (volume discount)
- Number of HTTP/HTTPS requests
Networking Costs in AWS per GB - Simplified
- Between AZs use Private IP instead of Public IP for good savings and better network performance
- Use same AZ for maximum savings (at the cost of high availability)
Savings Plan
- Commit a certain $ amount per hour for 1 or 3 years
- Easiest way to setup long-term commitments on AWS
- EC2 Savings Plan
* Up to 72% discount compared to On-Demand
* Commit to usage of individual instance families in a region (e.g. C5 or M5)
* Regardless of AZ, size (m5.xl to m5.4xl), OS (Linux/Windows) or tenancy
* All upfront, partial upfront, no upfront - Compute Savings Plan
* Up to 66% discount compared to On-Demand
* Regardless of Family, Region, size, OS, tenancy, compute options
* Compute Options: EC2, Fargate, Lambda - Machine Learning Savings Plan: SageMaker…
- Setup from the AWS Cost Explorer console
- Estimate pricing at https://aws.amazon.com/savingsplans/pricing/
AWS Compute Optimizer
- Reduce costs and improve performance by recommending optimal AWS resources for your workloads
- Helps you choose optimal configurations and right- size your workloads (over/under provisioned)
- Uses Machine Learning to analyze your resources’ configurations and their utilization CloudWatch
metrics -
Supported resources:
EC2 instances
EC2 Auto Scaling Groups
EBS volumes
Lambda functions - Lower your costs by up to 25%
- Recommendations can be exported to S3
Billing and Costing Tools
-
Estimating costs in the cloud:
* Pricing Calculator -
Tracking costs in the cloud:
* Billing Dashboard
* Cost Allocation Tags
* Cost and Usage Reports
* Cost Explorer -
Monitoring against costs plans:
* Billing Alarms
* Budgets
AWS Pricing Calculator
- Available at https://calculator.aws/
- Estimate the cost for your solution architecture
AWS Billing Dashboard
- High level overview + free tier dashboard
- Spend Summary
- Month-to-Date Spend by Service
Cost Allocation Tags
- Use cost allocation tags to track your AWS costs on a detailed level
-
AWS generated tags
Automatically applied to the resource you create
Starts with Prefix aws: (e.g. aws: createdBy) -
User-defined tags
Defined by the user
Starts with Prefix user: