Amazon Elastic Compute Cloud
Amazon Elastic Compute Cloud (EC2) is a part of Amazon's cloud-computing platform, Amazon Web Services (AWS), that allows users to rent virtual computers on which to run their own computer applications. EC2 encourages scalable deployment of applications by providing a web service through which a user can boot an Amazon Machine Image (AMI) to configure a virtual machine, which Amazon calls an "instance", containing any software desired. A user can create, launch, and terminate server-instances as needed, paying by the second for active servers – hence the term "elastic". EC2 provides users with control over the geographical location of instances that allows for latency optimization and high levels of redundancy. In November 2010, Amazon switched its own retail website platform to EC2 and AWS. == History == Amazon announced a limited public beta test of EC2 on August 25, 2006, offering access on a first-come, first-served basis. Amazon added two new instance types (Large and Extra-Large) on October 16, 2007. On May 29, 2008, two more types were added, High-CPU Medium and High-CPU Extra Large. There were twelve types of instances available. Amazon added three new features on March 27, 2008: static IP addresses, availability zones, and user-selectable kernels. On August 20, 2008, Amazon added Elastic Block Store (EBS). This provides persistent storage, a feature that had been lacking since the service was introduced. Amazon EC2 went into full production when it dropped the beta label on October 23, 2008. On the same day, Amazon announced the following features: a service level agreement for EC2, Microsoft Windows in beta form on EC2, Microsoft SQL Server in beta form on EC2, plans for an AWS management console, and plans for load balancing, autoscaling, and cloud monitoring services. These features were subsequently added on May 18, 2009. Amazon EC2 was developed mostly by a team in Cape Town, South Africa led by Chris Pinkham. Pinkham provided the initial architecture guidance for EC2 and then built the team and led the development of the project along with Willem van Biljon. == Instance types == Initially, EC2 used Xen virtualization exclusively. However, on November 6, 2017, Amazon announced the new C5 family of instances that were based on a custom architecture around the KVM hypervisor, called Nitro. Each virtual machine, called an "instance", functions as a virtual private server. Amazon sizes instances based on "Elastic Compute Units". The performance of otherwise identical virtual machines may vary. On November 28, 2017, AWS announced a bare-metal instance, a departure from exclusively offering virtualized instance types. As of January 2019, the following instance types were offered: General Purpose: A1, T3, T2, M5, M5a, M4, T3a Compute Optimized: C5, C5n, C4 Memory Optimized: R5, R5a, R4, X1e, X1, High Memory, z1d Accelerated Computing: P3, P2, G3, F1 Storage Optimized: H1, I3, D2 As of April 2018, the following payment methods by instance were offered: On-demand: pay by the hour without commitment. Reserved: rent instances with one-time payment receiving discounts on the hourly charge. Spot: bid-based service: runs the jobs only if the spot price is below the bid specified by bidder. The spot price is claimed to be supply-demand based, however a 2011 study concluded that the price was generally not set to clear the market, but was dominated by an undisclosed reserve price. In 2025, AWS expanded EC2 with the compute-optimized C8gn family, powered by Graviton4 and offering up to 600 Gbit/s network bandwidth (about 30% higher compute performance than C7gn), and introduced G6f fractional-GPU instances that let customers provision one-eighth, one-quarter, or one-half of an NVIDIA L4 GPU for right-sized graphics/ML workloads. === Cost === As of April 2018, Amazon charged about $0.0058 per hour ($4.176 per month) for the smallest "Nano Instance" (t2.nano) virtual machine running Linux or Windows. Storage-optimized instances cost as much as $4.992 per hour (i3.16xlarge). "Reserved" instances can go as low as $2.50 per month for a three-year prepaid plan. The data transfer charge ranges from free to $0.12 per gigabyte, depending on the direction and monthly volume (inbound data transfer is free on all AWS services). EC2 costs can be analyzed using the Amazon Cost and Usage Report. There are many different cost categories for EC2 including: hourly Instance Charges, Data Transfer, EBS Volumes, EBS Volume Snapshots, and Nat Gateway. === Free tier === As of December 2010 Amazon offered a bundle of free resource credits to new account holders. The credits are designed to run a "micro" sized server, storage (EBS), and bandwidth for one year. Unused credits cannot be carried over from one month to the next. === Reserved instances === Reserved instances enable EC2 or RDS service users to reserve an instance for one or three years. The corresponding hourly rate charged by Amazon to operate the instance is 35 to 75% lower than the rate charged for on-demand instances. Reserved instances can be purchased with three different payment options: All Upfront, Partial Upfront and No Upfront. The different purchase options allow for different structuring of payment models, with a larger discount given to customers that pay their reservation upfront. Reserved Instances are purchased based on a resource commitment. These reservations are made based on an instance type and a count of that instance type. For example, you could reserve 100 i3.large instances for a 3-year term. In September 2016, AWS announced several enhancements to Reserved instances, introducing a new feature called scope and a new reservation type called a Convertible. In October 2017, AWS announced the allowance to subdivide the instances purchased for more flexibility. === Spot instances === Cloud providers maintain large amounts of excess capacity they have to sell or risk incurring losses. Amazon EC2 Spot instances are spare compute capacity in the AWS cloud available at up to 90% discount compared to On-Demand prices. As a trade-off, AWS offers no SLA on these instances and customers take the risk that it can be interrupted with only two minutes of notification when Amazon needs the capacity back. Researchers from the Israeli Institute of Technology found that "they (Spot instances) are typically generated at random from within a tight price interval via a dynamic hidden reserve price". Some companies, like Spotinst, are using machine learning to predict spot interruptions up to 15 minutes in advance. === Savings Plans === In November 2019, Amazon announced Savings Plans. Savings Plans are an alternative to Reserved Instances that come in two different plan types: Compute Savings Plans and EC2 Instances Savings Plans. Compute Savings Plans allow an organization to commit to EC2 and Fargate usage with the freedom to change region, family, size, availability zone, OS and tenancy inside the lifespan of the commitment. EC2 Instance Savings plans provide a larger discount than Compute Savings Plans but are less flexible meaning a user must commit to individual instance families within a region to take advantage, but with the freedom to change instances within the family in that region. AWS uses the Cost Explorer to automatically calculate recommendations for the commitments you should make how that commitment will look like as a monthly charge on your AWS bill. AWS Savings Plans are purchased based on hourly spend commitment. This hourly commitment is made using the discounted pricing of the savings plan you are purchasing. For example, you could commit to spending $5 per hour, on a Compute Savings Plan, for a 3-year term. == Features == === Operating systems === When it launched in August 2006, the EC2 service offered Linux and later Sun Microsystems' OpenSolaris and Solaris Express Community Edition. In October 2008, EC2 added the Windows Server 2003 and Windows Server 2008 operating systems to the list of available operating systems. In March 2011, NetBSD AMIs became available. In November 2012, Windows Server 2012 support was added. Since 2006, Colin Percival, a FreeBSD developer and Security Officer, solicited Amazon to add FreeBSD. In November 2012, Amazon officially supported running FreeBSD in EC2. The FreeBSD/EC2 platform is maintained by Percival who also developed the secure deduplicating Amazon S3-cloud based backup service Tarsnap. Amazon has their own Linux distribution based on Fedora and Red Hat Enterprise Linux as a low cost offering known as the Amazon Linux AMI. Version 2013.03 included: Linux kernel, Java OpenJDK Runtime Environment and GNU Compiler Collection. On November 30, 2020, Amazon announced that it would be adding macOS to the EC2 service. Initial support was announced for macOS Mojave and macOS Catalina running on Mac Mini. === Managed Container and Kubernetes Services === Amazon Elastic Container Registry (ECR) is a Docker registry service for Amazon EC2
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