The pricing models for compute resources in the cloud can be complicated.
Some (but not all) variations include the following:
On-demand pricing is pretty straightforward: for every hour that a compute resource runs you pay a certain hourly cost. Reserved pricing allows you to significantly reduce your hourly cost by committing, and prepaying, to run a compute resource for an agreed period of time.
Spot pricing allows you to establish a maximum bid price for a compute resource and, if there is a resource available at or below that cost, you pay the current spot price.
And dedicated instances cost the most, but give you dedicated hardware on which to run your application.To read this article in full or to leave a comment, please click here