8 ms·
#1 is the reason why the math works out in favor of 3 year reservations. I took this into account already: $price = $reservationCost+$hourlyRate*24*365*$numb
by tyw 14y ago
#1 is the reason why the math works out in favor of 3 year reservations. I took this into account already:
$price = $reservationCost+$hourlyRate*24*365*$numberOfYears
Where reservation cost, hourly rate, and number of years are pulled off the chart for 1 or 3 year reservations for whatever instance size you're interested in.
#2 is sort of what we're solving for... how much of a yearly price reduction would be necessary to make 3 consecutive 1-year reservations cheaper than a single 3-year reservation (or how much of a 3-year reservation you could effectively abandon and still come out ahead). By my math above, I came up with the magic number being about 40% discount per year making 3x 1-year reservations cheaper than a single 3-year reservation.
$765 + $765*x + $765*x^2 = $1515
x = 0.60923
#3 I've yet to use the marketplace, but yes even after discounts happen down the road, your leftover reservation time is certainly worth something, pushing the balance even further in support of 3 year reservations.
- finnh 14y agoThe main driver of my comment is that I purchased 3-year terms before Amazon introduced the various categories of utilization. My instances have to run 24/7, so I need "heavy" utilization instances with concommitant higher hourly savings. By purchasing 3-year RI's prior to the utilization categories, I paid more (350 vs 300) for the reservation than even the costliest new reservation type (heavy) but my hourly rate is higher ($.06 vs $.059) than even the costliest new hourly type (light). At this point I can't run the numbers, though, b/c I'm not sure how much a 1-year term would have cost me back then. I only know how much I did pay for my 3 year terms. Maybe my gripe is simply that I feel my pre-category RIs should have been converted to "high" RIs with better hourly rates =)