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Difficulty: EasyCost-Optimized Compute Selection and Purchasing Strategies

A company hosts a legacy inventory management application on AWS. The architecture consists of a steady-state fleet of Amazon EC2 instances running 24/724/7 and an Amazon RDS for PostgreSQL database instance that also runs continuously. The company wants to minimize costs for both the EC2 instances and the RDS database with a 11-year commitment. Which combination of purchasing options will provide the most cost-effective solution?

  1. A
    Purchase a Compute Savings Plan to cover both the Amazon EC2 instances and the Amazon RDS database instance.
  2. Purchase a Compute Savings Plan for the Amazon EC2 instances, and purchase Amazon RDS Reserved Instances for the database instance.Answer
  3. C
    Purchase a Compute Savings Plan for the Amazon EC2 instances, and purchase a separate Compute Savings Plan to cover the Amazon RDS database instance.
  4. D
    Purchase an EC2 Instance Savings Plan for the Amazon EC2 instances, and purchase an EC2 Instance Savings Plan to cover the Amazon RDS database instance.

Answer

Purchase a Compute Savings Plan for the Amazon EC2 instances, and purchase Amazon RDS Reserved Instances for the database instance.
Purchasing a Compute Savings Plan for the Amazon EC2 instances provides a flexible discount on the compute workload, and purchasing Amazon RDS Reserved Instances provides a dedicated discount for the RDS database instance. Compute Savings Plans apply automatically to EC2, Fargate, and Lambda, while RDS Reserved Instances are required to reduce the cost of the RDS database instance.

Step-by-Step Solution

1
Identify the distinct AWS resources in the architecture.
The workload consists of Amazon EC2 instances and an Amazon RDS database instance.
Different AWS services have separate pricing structures and cost optimization models.
2
Determine the optimal purchasing strategy for the Amazon EC2 instances.
Because the EC2 instances run steady-state 24/724/7, a Savings Plan (Compute or EC2 Instance) is suitable to reduce costs.
Savings Plans offer significant discounts over On-Demand rates in exchange for a commitment.
3
Determine the optimal purchasing strategy for the Amazon RDS database instance.
Amazon RDS cannot be covered by Compute Savings Plans and requires RDS Reserved Instances.
Savings Plans are scoped to compute services (EC2, Fargate, Lambda) and do not apply to RDS.

Key Concept

Compute Savings Plans apply to EC2, Fargate, and Lambda, whereas Amazon RDS requires RDS Reserved Instances for cost optimization.
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Cost-Optimized Compute Selection and Purchasing Strategies