Answer-first summary for fast verification
Answer: Provides up to 75% savings on On-Demand pricing with 1- or 3-year terms.
The correct answer is A, Standard Reserved Instances. This option is the most cost-effective for long-term, steady-state workloads like the one described in the question. By committing to a 1-year term, the company can benefit from significant savings of up to 75% off On-Demand pricing. This commitment provides cost predictability and is ideal for a workload that is expected to run continuously for the entire year without changes in instance specifications. While On-Demand Instances (B) offer flexibility, they are more expensive in the long run. Spot Instances (C) can be cost-effective but are not suitable for production databases as they can be interrupted. Convertible Reserved Instances (D) offer flexibility but at a lower discount rate than Standard Reserved Instances.
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A company operates a continuously running database server on EC2 instances sized appropriately for its workload, projected to run for 1 year. Identify the most cost-effective EC2 purchasing option for this scenario.
A
Provides up to 75% savings on On-Demand pricing with 1- or 3-year terms.
B
Offers pay-as-you-go flexibility with no long-term commitments.
C
Enables bidding on spare capacity at user-set maximum prices, potentially lower than On-Demand rates.
D
Allows flexibility in instance types, AZs, and tenancies with up to 66% discount on On-Demand pricing.
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