To oversimplify, it's running the Minecraft server software in a way that behaves like it's running on a specific server. But in the background, it's run on a

To oversimplify, it's running the Minecraft server software in a way that behaves like it's running on a specific server. But in the background, it's run on a set of Amazon services. You don't have to rent a specific server for a given time period, like monthly server rental. You just use Amazon's on-demand services (that use whichever server resources are required at the time).