AWS EC2 (Elastic Compute Cloud) Pricing and Cost Optimization

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Table of Contents

1. Introduction
2. EC2 Pricing Models
3. Cost Optimization Strategies
4. Tools and Best Practices
5. Automation for Cost Optimization
6. Conclusion

Introduction

Amazon Web Services (AWS) Elastic Compute Cloud (EC2) is a core service that provides resizable compute capacity in the cloud. While EC2 offers flexibility and scalability, it’s crucial to understand its pricing structure and implement cost optimization strategies to maximize your cloud investment. This article delves into EC2 pricing models, cost optimization techniques, and provides practical examples for technical professionals.

EC2 Pricing Models

EC2 offers several pricing models to cater to different use cases and workloads:

1. On-Demand Instances

• Pay for compute capacity by the second with no long-term commitments
• Ideal for short-term, spiky, or unpredictable workloads
• Most expensive option but offers maximum flexibility

2. Reserved Instances (RI)

• Purchase a reservation…