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AWS Certified Cloud Practitioner

AWS Certified Cloud Practitioner

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Which AWS resource can help a company reduce its costs in exchange for a usage commitment when using Amazon EC2 instances?

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RRitesh



Explanation:

Explanation

Compute Savings Plans is the correct answer because:

  • Cost Reduction: Compute Savings Plans offer significant discounts (up to 72%) compared to On-Demand pricing
  • Usage Commitment: They require a commitment to a consistent amount of compute usage (measured in $/hour) for a 1- or 3-year term
  • Flexibility: They provide flexibility to change instance families, operating systems, and tenancy while maintaining the savings
  • EC2 Focus: Specifically designed for EC2 instances and other compute services

Why other options are incorrect:

  • Auto Scaling group: This helps with availability and performance optimization, not cost savings through commitments
  • On-Demand Instance: This is pay-as-you-go pricing with no commitments and higher costs
  • EC2 instance store: This refers to temporary block-level storage, not a cost-saving mechanism

Savings Plans are AWS's recommended way to save on compute costs when you can commit to consistent usage patterns.

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