Who uses Dedicated instances?

Dedicated Instances are mostly used by organizations that need dedicated hardware for security, compliance, or company policies. They do not want to share the physical server with other AWS customers.

What is a Capacity Reservation?

Capacity Reservation is used to make sure the required EC2 capacity is available whenever we need it, especially during high-demand situations.

Which payment option gives the biggest discount?

Among the Reserved Instance payment options, All Upfront gives the highest discount because the full amount is paid in advance.

Why do people choose Reserved Instances?

Reserved Instances are a better option for long-term workloads. Instead of paying the normal On-Demand price every time, we can reserve the instance and reduce the overall cost.

What is an On-Demand instance used for?

On-Demand Instance is useful when we need an EC2 instance immediately. It is a good choice for temporary or unpredictable workloads because we pay only for what we use.