What are EC2 Reserved Instances and how do they differ from On-Demand Instances?

Question

Nikitha Acharya · Accepted Answer

EC2 Reserved Instances are discounted purchasing options for EC2 capacity with long-term commitments, offering cost savings compared to On-Demand Instances which are paid for by the hour with no upfront commitment.

Nikitha Acharya · Answer

EC2 Reserved Instances provide a significant discount compared to On-Demand Instances in exchange for a commitment to use the instance for a 1 or 3-year term.

What are EC2 Reserved Instances and how do they differ from On-Demand Instances?

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