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Why do we need an AMI before creating an EC2 instance?

AMI (Amazon Machine Image) is a template which is used to create an EC2 instance. It contains the operating system and other required software configurations. It is a customization of an EC2 instance.

what is EC2 ?

EC2 stands for Elastic compute cloud.

what is the purpose of a security group in EC2 ?

purpose of security in EC2 is to decide who can access the incoming and the outgoing network traffic

What is the difference between a public key and a private key?

Public Key: A key that is available inside the cloud. Which acts like a lock. The public key is a encryted.
Private Key: A secret key that you must keep safe and never share which will be kept with us and which act like a key. Whereas the private key is decrypted.

Why do we use Security Groups in EC2?

To control and secure network access by allowing or blocking specific inbound and outbound traffic to EC2 instance.