AWS EC2 provides flexible pricing options to help businesses manage costs effectively. The key pricing models include:
- On-Demand Instances – Pay for compute capacity by the hour or second, ideal for short-term workloads.
- Reserved Instances (RI) – Commitment for 1 or 3 years with significant discounts, suitable for steady-state applications.
- Spot Instances – Use spare EC2 capacity at up to 90% lower cost but can be interrupted.
- Savings Plans – Flexible pricing with up to 72% discounts in exchange for a commitment.
Understanding these models helps businesses optimize cloud spending.