AWS Certified Cloud Practitioner (CLF-C02) — Question 438
A company will run a predictable compute workload on Amazon EC2 instances for the next 3 years. The workload is critical for the company. The company wants to optimize costs to run the workload.
Which solution will meet these requirements?
Answer options
- A. Spot Instances
- B. Dedicated Hosts
- C. Savings Plans
- D. On-Demand Instances
Correct answer: C
Explanation
Savings Plans provide significant cost discounts (up to 72%) compared to On-Demand Instances in exchange for a commitment to a consistent amount of compute usage for a 1- or 3-year term, making them perfect for predictable, critical workloads. Spot Instances are unsuitable for critical workloads because they can be terminated by AWS with minimal notice when capacity is needed elsewhere. On-Demand Instances offer no discount for long-term commitments, and Dedicated Hosts are designed for specific licensing or compliance requirements rather than general cost optimization.