From the course: AWS: Automation and Optimization

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EC2 Reserved Instances

EC2 Reserved Instances - Amazon Web Services (AWS) Tutorial

From the course: AWS: Automation and Optimization

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EC2 Reserved Instances

- [Instructor] Amazon EC2 Reserved Instances provide a significant billing discount compared to on-demand instances when you commit to a one-year or a three-year term. Reserved Instances are not a different class or type EC2 Instances, but rather it's a discount applied on the usage of on-demand instances. If you purchase a Reserved Instance and you already have a running instance that matches the specifications of the Reserved Instance, the billing benefit is applied immediately. You do not have to restart your instances. When you purchase a Reserved Instance you may choose from one of the available combinations. Payment: this can be no upfront, partial upfront, or all upfront. As the name suggests, with no upfront you are not required to pay anything upfront. With partial upfront, you are require to pay a portion of the cost upfront. And with all upfront, the full payment has to be made at the start of the term. The hourly cost of Reserved Instances is cheapest when you choose the…

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