Find out more about how to optimize costs on the AWS platform

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Getting started with AWS
bdnatris@amazon.nl
Bas de Natris – Enterprise Relations

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How to make your funding go further

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LOWER COSTS WITH THE AWS CLOUD
2 31 4
Replace up-front capital
expense with low variable
cost
Save more money as you
grow bigger
Economies of scale allow
AWS to continually lower
costs
Pricing model choice to
support variable & stable
workloads

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THE PRICING JOURNEY CONTINUES

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LOWER COSTS THAN ON-PREMISES
On-Premises
Traditional
Data Centre
On-Premises
Virtualised
Data Centre
AWS
CAPEX
CAPEX
OPEX
OPEX
OPEX
Cost savings from running internal
IT more efficiently
Cost savings from moving to
a cloud provider
AWS Scale
• Multiple new data centres built each year
• Volume purchasing, highly automated supply
chain optimisation
Utilisation fundamentally higher in the AWS
Cloud
• Aggregating non-correlated workloads, scale,
spot market
Amazon specific hardware designs
• OEM acquisition of custom servers and
networking equipment
• Direct purchasing of memory, disk & CPU
• AWS controlled hypervisor and network
protocol layers

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OPTIMIZE FOR FURTHER SAVINGS

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AWS PRICING PHILOSOPHY
More AWS
Usage
More
Infrastructure
More
Customers
Lower
Infrastructure
Costs
Economies of
Scale
Reduced
Prices
Ecosystem
Global Footprint
New Features
New Services
Infrastructure
Innovation
62PRICE
REDUCTIONS
We pass the savings along to our
customers in the form of low prices
and continuous reductions

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COST OPTIMISATION TIPS & TRICKS

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1. CHOSE THE RIGHT INSTANCE TYPES
Choose an instance
that best meets your basic
requirements
Start with memory & then
choose closest virtual cores
Assess peak IOPS storage
requirements
Run multiple instances
in multiple Availability Zones
Change instance size up or
down based upon monitoring
Use CloudWatch & Trusted
Advisor to assess
START DEPLOY & SCALETUNE

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2. USE AUTO SCALING
LAUNCH
CONFIGURATION
Describes what Auto Scaling will
create when adding Instances
Only one active launch
configuration at a time
as-create-launch-config
--image-id ami-54cf5c3d
--instance-type m1.small
--key mykey
--group webservers
--launch-config 101-launch-config
AUTO SCALING
GROUP
Auto Scaling managed grouping
of EC2 instances
Automatically scale the number
of instances by policy
as-create-auto-scaling-group 101-as-group
--availability-zones us-east-1a us-east-1b
--launch-configuration 101-launch-config
--load-balancers myELB
--max-size 5
--min-size 2
AUTO SCALING
POLICY
Parameters for performing an Auto
Scaling action
Scale Up/Down and by how much
as-put-scaling-policy 101ScaleUpPolicy
--auto-scaling-group 101-as-group
--adjustment=1
--type ChangeInCapacity
--cooldown 300

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UTILISATION & AUTO SCALING GRANULARITY

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UTILISATION & AUTO SCALING GRANULARITY
41 Instance Hours
m4.large @ $0.108/hr
= $4.428/day

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UTILISATION & AUTO SCALING GRANULARITY
70 Instance Hours
t2.medium @ $0.047/hr
= $3.29/day

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3. TURN OFF UNUSED INSTANCES
Development/test instances
Simple instance stop/start
Tear down & build rapidly
Treat resources as disposable
Deployment & Management
Containers
Dev/ops Tools
Resource
Templates
Usage
Tracking
Monitoring
and Logs

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4. USE RESERVED INSTANCES
100%
75%
58%
38%
13%
8%
On Demand Instance
Reserved Instance

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RI PRICING | T2.SMALL IN EUROPE (LONDON)

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AWS SERVICES OFFERING RESERVATIONS
Amazon EC2
up to 75% savings
Amazon RDS
up to 76% savings
Amazon DynamoDB
up to 76% savings
Amazon Redshift
up to 73% savings
Amazon ElastiCache
up to 70% savings

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5. USE SPOT INSTANCES
Pricing
Up to 92% discount
Elastic
Capacity not otherwise
available
Tradeoff
Potential for interruption

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USING SPOT INSTANCES FOR HPC WORKLOADS
0
18
35
53
70
88
On-Premises AWS
$68M
$33K
Cost Comparison
1.21 PFLOPS, 16,788 EC2 Instances in 8 Regions, 264 years of computing in 18 hours

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6. MAKE USE OF APPROPRIATE STORAGE CLASSES
Amazon S3
• 99.999999999% durability
• Great for data that is used often
• $0.023 per GB
Amazon S3 Standard - Infrequent Access
• Same durability as S3
• $0.0125 per GB
Amazon Glacier
• Same durability as S3
• 3 to 5 hours restore time
• Up to 67% savings
• Great for archiving, long-term backups and
cold or old data

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7. OFFLOAD FROM YOUR ARCHITECTURE
The more you can offload, the less infrastructure you need to maintain, scale and pay for
• Offload traffic to Amazon CloudFront and S3
• Introduce Caching
No
CDN
ResponseTime
InstanceLoad
ResponseTime
InstanceLoad
CDN for
Static
Content
ResponseTime
Instance
Load
CDN for
Static &
Dynamic
Content

22. 8. USE SERVICES, DON’T REINVENT THE WHEEL
ENTERPRISE
APPS
DEVELOPMENT & OPERATIONSMOBILE SERVICESAPP SERVICESANALYTICS
Data
Warehousing
Hadoop/S
park
Streaming Data
Collection
Machine
Learning
Elastic
Search
Virtual
Desktops
Sharing &
Collaboration
Corporate
Email
Backup
Queuing &
Notifications
Workflow
Search
Email
Transcoding
One-click App
Deployment
Identity
Sync
Single Integrated
Console
Push
Notifications
DevOps Resource
Management
Application Lifecycle
Management
Containers
Triggers
Resource
Templates
TECHNICAL &
BUSINESS
SUPPORT
Account
Management
Support
Professional
Services
Training &
Certification
Security &
Pricing
Reports
Partner
Ecosystem
Solutions
Architects
MARKETPLACE
Business Apps
Business
Intelligence
DatabasesDevOps Tools NetworkingSecurity Storage
Access
Control
Identity
Management
Key Management
& Storage
Monitoring
& Logs
Assessment &
Reporting
Resource & Usage
Auditing
SECURITY & COMPLIANCE
Configuration
Compliance
Web Application
Firewall
HYBRID
ARCHITECTURE
Data Backups
Integrated App
Deployments
Direct
Connect
Identity
Federation
Integrated
Resource
Management
Integrated
Networking
API Gateway
IoT
Rules
Engine
Device Shadows
Device SDKs
Registry
Device
Gateway
Streaming Data
Analysis
Business
Intelligence
Mobile
Analytics
Regions
Availability
Zones
Points of
Presence
INFRASTRUCTURE
CORE SERVICES
Compute
VMs, Auto-scaling, &
Load Balancing
Storage
Object, Blocks, Archivals,
Import/Export
Databases
Relational, NoSQL, Caching,
Migration
Networking
VPC, DX, DNS
CDN

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AVOID UNDIFFERENTIATED HEAVY LIFTING
Amazon Relational Database
Service (RDS)
Elastic Load Balancing Amazon Simple Queue
Service (SQS)
Amazon ElastiCache Amazon Elastic
MapReduce
Amazon Simple Notification
Service (SNS)

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9. USE CONSOLIDATED BILLING
• Receive a single bill for all charges incurred across all linked accounts
• Share RI discounts
• Combine tiering benefits

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10. TAKE ADVANTAGE OF AWS TOOLS
AWS Trusted Advisor

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10. TAKE ADVANTAGE OF AWS TOOLS
AWS EC2 Usage Reports
AWS Cost Explorer

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© 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
AWS Marketplace
Accelerating Innovation and Reducing Cost Using
Cloud-based Software Procurement

28. • Ongoing catalog additions
• Version updates*
• Vendor supply portal
• Centralize digital assets
*Vendor dependent
• Sunset older versions
• Add instance type/region
• Actively monitor
health and expansion
• 7/24 scanning
• Vulnerability notifications
and removal/work-rounds
• MCO team
AWS Marketplace: A Public Managed Catalog

29. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
ENTERPRISE
APPSDEVELOPMENT & OPERATIONSMOBILE SERVICESAPP SERVICESANALYTICS
Data
Warehousing
Hadoop/Spark
Streaming Data
Collection
Machine
Learning
Elastic
Search
Virtual
Desktops
Sharing &
Collaboration
Corporate
Email
Backup
Queuing &
Notifications
Workflow
Search
Email
Transcoding
One-click App
Deployment
Identity
Sync
Single Integrated
Console
Push
Notifications
DevOps Resource
Management
Application Lifecycle
Management
Containers
Triggers
Resource
Templates
MARKETPLACE
Business
Apps
Business
Intelligence
Databases
DevOps
Tools
Networking
Security
Storage
Regions
Availability
Zones
Points of
Presence
INFRASTRUCTURE
CORE SERVICES
Compute
VMs, Auto-scaling, &
Load Balancing
Storage
Object, Blocks, Archival,
Import/Export
Databases
Relational, NoSQL,
Caching, Migration
Networking
VPC, DX, DNS
CDN
Access
Control
Identity
Management
Key
Management
& Storage
Monitoring
& Logs
Assessment
and reporting
Resource &
Usage Auditing
SECURITY & COMPLIANCE
Configuration
Compliance
Web
application
firewall
HYBRID
ARCHITECTURE
Data Backups
Integrated
App
Deployments
Direct
Connect
Identity
Federation
Integrated
Resource
Management
Integrated
Networking API
Gateway
IoT
Rules
Engine
Device
Shadows
Device
SDKs
Registry
Device
Gateway
Streaming
Data Analysis
Business
Intelligence
Mobile
Analytics
Operating
Systems
Market Software Augments the AWS Platform

30. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
AWS Marketplace
Discover, Procure, Deploy, and Manage Software in the Cloud
• 135,000+ active customers
• 3,800+ software listings
• Over 1,200 participating ISVs
• Open source and commercial
software
• Bring-your-own-license
• Procure new
• Available in all new regions
• Over 370 M of deployed EC2
instances per month

31. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
• Buying software has been historically slow,
difficult, and resource-intensive
• A lot of “shelf ware” with capital tied up and
under-utilized
• Customers have urgent and short-term need of
software for a project
What Do Customers Tell Us About
Software Procurement and Management?

32. What’s the Value for Customers?
Tie software costs to actual usage, deploy in minutes, consolidate IT expenses
Rapidly deployPay-as-you-go Easily procure

33. © 2017, Amazon Web Services, Inc. or its Affiliates. All rights reserved.
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