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Compute Cost Controls

Introduction

Cost optimization is crucial in cloud services, especially with compute resources on AWS. This lesson covers techniques to control and optimize costs without sacrificing performance.

Key Concepts

  • **AWS Pricing Models**: Understanding On-Demand, Reserved Instances, and Spot Instances.
  • **Billing and Cost Management**: Utilizing AWS Cost Explorer and Budgets.
  • **Resource Optimization**: Rightsizing and Autoscaling resources based on demand.

Cost Optimization Strategies

1. Use the Right Instance Type

Select instances based on the workload requirements.

Tip: Use EC2 Instance Advisor to find optimal instance types.

2. Implement Autoscaling

Automatically adjust resources based on traffic demands.

 
                # Example: Autoscaling configuration
                resource "aws_autoscaling_group" "example" {
                    launch_configuration = aws_launch_configuration.example.id
                    min_size            = 1
                    max_size            = 10
                    desired_capacity    = 2
                }
                

3. Utilize Spot Instances

Use Spot Instances for interruptible workloads to reduce costs significantly.

Best Practices

  1. Regularly review your resource usage and costs.
  2. Utilize AWS Budgets to monitor your spending.
  3. Decommission unused resources promptly.
  4. Leverage AWS Trusted Advisor for recommendations.
  5. Consider using AWS Savings Plans for flexible pricing.

FAQ

What are the main pricing models in AWS?

The main pricing models are On-Demand, Reserved Instances, and Spot Instances.

How can I monitor my AWS costs?

You can use AWS Cost Explorer and set budgets through AWS Budgets.

What is the benefit of using Spot Instances?

Spot Instances allow you to take advantage of excess capacity at reduced rates, ideal for flexible workloads.