Amazon/AWS EC2 Pricing Simply Explained | On-Demand, Spot, Reserved, Savings Plans

[@avivkfir]

so after I have purchase the ec2 saving plans and I can see it thru my inventory as Active it just working ? I can just create ec2 from the same family that I have chose in the saving plans ?

[@TinyTechnicalTutorials]

Hi Kfir! 👋 That's right...you create EC2 instances from the same family and in the same region that you chose for your Savings Plan. The discount will be automatically applied to your usage. Hope that helps! 🤓

[@ladfloss]

what's the difference between Convertible Reserved Instances and ec2 instance savings plan?

[@TinyTechnicalTutorials]

Hi @ladfloss! 👋 There's a comparison table here that might help? www.cloudzero.com/blog/savings-plans-vs-reserved-instances/

[@oldschool5]

As Always. Nice and Smooth. Much Appreciated

[@thomasthomas4464]

Thank you for making the topic this simple without missing any important details.

[@TinyTechnicalTutorials]

You're very welcome! Glad it was helpful. Thanks for watching, and for the nice comment! 🙏🤓🌟

[@tameronmorris9329]

Great content. Love the way you teach

[@TinyTechnicalTutorials]

You're very kind!! Thanks for watching and for the nice comment! 🙏🌟🤓

[@ShantanuJoshi-o7k]

Savings plan simplified: I commit some amount. Then I use cloud resources for a year. AWS computes actual usage based on on-demand rates. If my actual usage is less than or equal to the committed amount, I will pay the committed amount. If my actual usage exceeds the committed amount, I will pay (committed amount + (excess usage * (100 - discount) / 100)).

[@TinyTechnicalTutorials]

Hi Shantanu! 👋 I'm not sure about the calculation in the last bullet. Can you share how you came up with that? My understanding is that excess usage is billed at on-demand rates. So... -Commitment: You commit to a specific amount of usage (measured in dollars per hour) for a one- or three-year term. -Usage: You use cloud resources during this term. -Billing: -Within Commitment: If your actual usage, calculated at on-demand rates, is less than or equal to your committed amount, you pay the committed amount. -Exceeding Commitment: If your actual usage exceeds the committed amount, you pay the committed amount plus the excess usage at the on-demand rates.

[@ShantanuJoshi-o7k]

@@TinyTechnicalTutorials Hello, I am curious if yours one is correct, then what's the point of discount? I couldn't find discount in your formula anywhere. Pls confirm same. Also what's the way to commit amount, on what basis? Best regards.

[@dfragoso]

I just don't get it. Why is EC2 more expensive than LightSail? With the a "savings plan" I get t2.xlarge for 0.156 USD/hour (4 vCPU / 16 RAM (GiB)) which is $113.88 per month. LightSail costs $124 for the same performance without discount. Can someone tell me where the advantage is with EC2?

[@AhmedOmar-ib3yn]

Same question but with getting say a vps from Hetzner with better specs for the same price what is the difference

[@TinyTechnicalTutorials]

Hey @dfragoso! 👋 Sorry for the super slow response! If you're still looking for answers, Lightsail and EC2 both provide virtual servers, but really serve two different use cases. -EC2: Offers more customization, advanced networking, scalability, integration with other services, and more granular billing (savings plans, spot instances, reserved instances), monitoring and management. Good for enterprise, high-performances apps that need to scale and integrate with other AWS services. -Lightsail: Gives you a pre-configured stack with flat-rate pricing, making it easy to predict costs (but with less options for customization, integration and networking). Good for a simple website where you don't want to bother with advanced features. So if you pay more for EC2, it's because you're paying for all the additional capabilities that you can't get with Lightsail. Hope that helps! 🤓🌟

[@inaqingww]

Great video for breaking down those headache-inducing concepts

[@kwwong1834]

Thanks! Really great content and easy to understand.

[@TinyTechnicalTutorials]

You're very welcome! Thanks for watching, and for the nice comment!! 🙏🤓🌟

[@HavaryCamara]

Very simples and direct explanation. thanks!!!

[@RadjiMubarakElMobizy]

This is the exact video I have been looking for, Thanks so much for clarification. . Could you please do a series but with the other AWS Services as well, the commonly used one would be great

[@TinyTechnicalTutorials]

I'm so glad it helped! And more videos on the way. Thanks for watching, and for such a nice comment! 🙏🤓🌟

[@rembautimes8808]

Joined as a sub . Great content

[@goldenarithmetic1850]

I LOVE LOVE LOVE your vids! Thank you for making them. I have a question I hope you can help me with. I have an EC2 instance for my app but don’t know how to manage AWS. So I thought I could just convert it to Elastic Beanstalk but I learned that I can’t. Is it possible to replicate elastic beanstalk settings on auto scale and load balancing to EC2 so I don’t have to migrate? Is it better to manage it myself than EB? Thanks! 🙏

[@TinyTechnicalTutorials]

Thanks for the kind words, @goldenarithmetic1850! 🙏🌟🤓 I'm so glad the videos are helpful! If your app's architecture is fairly straightforward, or you don't want to manage underlying infrastructure (instances, load balancer, auto-scaling), then Elastic Beanstalk is a good choice. In theory, you can just upload your code to EB and like magic, it'll work. But if you need greater control of the environment, or you have some type of special configuration that EB doesn't support, then EC2 is the way to go. So the answer, as always, is "it depends." 😊 It depends on how complicated the app is and how much you want to/know how to do yourself. If it helps, I do have some videos that might be relevant: -Elastic Beanstalk: kzbin.info/www/bejne/aHPSh5ubn5WEjKs -Load Balancing: kzbin.info/www/bejne/kHiqoXitic2bqK8 -Auto-Scaling: kzbin.info/www/bejne/gX_VZH6nbMiUnpo

[@goldenarithmetic1850]

Thank you so much! So I guess the answer is yes I can keep the EC2 and just setup autoscaling myself? Do I still have to manage it later on? Or it’s a setup and done kinda thing?

[@hehehe4206]

loved the video..mam can you make a video on aws well architected framework?

[@TinyTechnicalTutorials]

Thanks so much!!! 🥰 I'll add this to my list for future videos. Thanks for suggesting it!

[@richardlphillips]

Great video, so much better than the actual AWS videos on their youtube channel. One question, what is the hourly commitment? what does that mean specifically. Thanks

[@TinyTechnicalTutorials]

Thanks for the nice comment, Richard!! 🙏🥰 And sorry for the slow response, but if you're still looking for an answer, maybe this will help: repost.aws/knowledge-center/ec2-instance-hour-billing.

[@richardlphillips]

@@TinyTechnicalTutorials Thank you very much for taking the time to reply. Your videos have continued to be a big part of my learning and i really appreciate the content. Thanks for the link and i wish you all the best 🙌🏼

[@gregnixonjr]

That was awesome! Thank you

[@TinyTechnicalTutorials]

Yay! Glad you liked it. Thanks for watching! 🤓🌟🙏

[@Anil-mc1fy]

Really helpful,thanks 👏

[@TinyTechnicalTutorials]

You're welcome! Thanks so much for watching, and for the nice comment!! 🙏🤓🌟

[@Matt-kc9xr]

Thanks for the overview

[@TinyTechnicalTutorials]

You bet! And thank YOU for watching! 🤓🙏🌟

[@arieladalid9910]

yeih new video !!!! 💯💯💯💯💯💯

[@TinyTechnicalTutorials]

Yay!!! 😂🌟🤓 This made me laugh!

[@litalnaory]

Thanks so much!

[@TinyTechnicalTutorials]

You bet! Thanks for watching!! 🙏🤓🌟

[@cyclopezz]

Valuable one. Thanks

[@TinyTechnicalTutorials]

I'm so glad it helped! Thanks for the nice comment! 😊

[@samjones4327]

Hey! Thanks once again for a great learning video and tool!! This topic always make me slow down and really thing about when it comes to testing questions! You always make a seemingly complicated topic so much more easy to understand and I really appreciate that and all that you do for us! As always, be well, be safe and cheers!!! See U in the next one!

[@TinyTechnicalTutorials]

You're the best, Sam!!!! Thanks so much for the nice comments, as always! 🥰🙏🤓