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by efitz
1395 days ago
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It probably would have been better if AWS had called them "reservations" rather than "reserved instances". NB they would never call it a lease or rental because those terms have legal repercussions in some jurisdictions. A reserved instance is simply pre-paying for a specific amount of EC2. AWS is able to discount this because:
1. You're pre-paying
2. You might not use all the resources you're entitled to, if you don't keep a running EC2 instance "filling" the reserved instance slot.
3. You're helping them with capacity planning and capacity management; there's no guesswork involved with your workload. |
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We got to go second, but I prefer the naming and separation of concerns we came up with (obviously): Reservations are capacity you're holding, while Commitments are things that get you discounts.
Reservations are things your operations team uses to guarantee capacity for scaling up, doing rolling restarts, and whatever else. Commitments (and Committed Use Discounts) are primarily what your Finance teams work with.
The original Reserved Instance product combined both of these. AWS now has the same decoupling with Savings Plans and Reservations as related, separate products.