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Cirrushq

Great news on the reductions, but on the pricing page at http://aws.amazon.com/ec2/pricing/effective-april-2014/ there is nothing listed for Light Utilization Reserved Instances, are these no longer being offered?

Primoz

Hi, do you plan to do something with Glacier pricing as well? It used to be an order of magnitude cheaper than S3 ... now it's almost the same.

Chris

This is great Jeff - only issue is if you are 18 months into a 3 year reserved instance then you have to wait another 18 months to get a new one - and I haven't done the maths but I expect it must be getting close to the point where in paying more for isn't reserved instances?

Chris

Stupid autocorrect - should have said "getting to the point where I'm paying more for using reserved instances?"

Ross Carver

Always glad to see. Interesting the RDS instance reserved pricing only went down on 3yr reservations. Does anyone actually reserve a database instance for 3 years, especially given the as-yet limited fungibility of these reservations? Reductions on 1yr heavy utilization would be impressive. Keep up the good work nonetheless.

Jonathan Johnson

Great news! It would really help me & others if you could keep the AWS Calculator page in sync with the (new) instance types and price reductions.

Also, will the new RDS pricing apply to "License Included" model or only BYOL?

Thanks!

Mark

Great news!

I see that only 3 year heavy reserve pricing is listed for RDS and ElastiCache?

Something has to be off since a quick spot check shows that the 3 year heavy ElastiCache is going to be cheaper than the current one year reserve.

Is this an error or are you doing away with 1 year reserves on RDS and ElastiCache? Or is there new pricing for 1 year RIs?

Guy Hall

Hi Jeff,

I've only just purchased a reserved instance for three years. Will the per hour rate drop for an existing reserved instance?

Regards,
Guy

Paddu G

Awesome! We can boost our EC2 instances to improve performance and scale at the same monthly outflow. Keep up the tradition AWS!

Henning Kilset

Alwas good With pricing cuts. Your problem is still Your reserved instances, though. Your unnamed competitor doesn't require up front commitment, but instead rewards loyalty. Plus - if you commit to a Three year reserved instance now - yes, you save With the current prices, but what about the NeXT 3-4-5 price cuts? You'll end up LOSING.

J Navaneethan

I just bought an reserved instance for three years by paying lot more last week. What will happen to it?

Nagin

Great news on the reductions. Want to know what will be new pricing for current light utilization instances, as new pricing page does not show prices for light utilization.

Paul Brzeski

I'm really confused by the storage changes and lack of information about m1.small

Are M1's being changed? Because the pricing table seems to imply that m1.small is not part of the new generation of plans and may be phased out soon.

I'm also a bit concerned about the tiny 4GB SSD storage for m3.medium. Am I reading this table correctly?

Curtis Machek

LOVING the reduced S3 pricing. Thanks!

shyam mohan kanojia

Grate News from AWS, it will help us a lot to server.

shyam mohan kanojia

Grate News, It will help up to server more.

Fabrizio Regalli

Always glad to read news like this!
Waiting for 1 Apr to make some new calculation

Thanks.

Sebastian Toet

There seem to be no price reductions at all for RDS or EC2 instances that include a SQL Server or Oracle license. I assume this is not an oversight, so what is going on here?

Mo

Please reduce the price for Amazon glacier :), its almost like S3 Now

Michael H

This suck!!!! what about cloudfront!!!....im getting robbed by the cost of that!! where is the reduction on CloudFront?

AH

About 90% of our cost was data transfer, so we moved our stuff to another provider where we pay $0.04/GB outbound. The current data transfer rates render AWS uncompetitive for services such as ours (a media library) even if all other resources were provided for free. Hope this feedback is useful, as I really like AWS and would prefer to enjoy the benefits of its scale.

Pascal Coupet

Great!

But beside price reductions, Google announced a much simpler way to cut price based on instances usage. No more reserved instances but rebates based on instances effective usage. It is much simpler to manage, and is real pricing based on usage which is what cloud is all about.
It will be awesome to move to a similar schema. Reserved instances are always a pain to plan an manage.

Thanks,

Pascal

SJ

Anyway to apply this to people currently in a 1 yr reserved instance contract?

Daniel

I hope it's not a April Fool's Day news right :P ?

Ravi

Its been long since EBS Snapshots and PIOPS storage is reduced. Hope this is going to happen sooner than later.

John Dunlap

April 1st? Is this a joke?

Sylvain

What about Glacier?!

Joe

This better not be an april fools joke.

Ted M

On the new pricing page, there is nothing listed Windows with SQL Web. Is this no longer being offered by Amazon?

Pete


No changes for RDS SQL without BYOL?? Why?

Juan Carlos Photography

This is fantastic news. Small businesses like ours can really appreciate a cost reduction to store data and photographic images.

Thank you !!!

Justin

We just bought 15 heavy reserved instances (3 year) about 2 weeks ago. I am assuming that we are stuck with our rates now? Will our per-hour rates go down?

jijo varghese

Thanks G**** for reducing our bills.

Ken Lin

"I haven't done the maths but I expect it must be getting to the point where I'm paying more for using reserved instances?".

@Chris - This interactive chart makes it easy to visually price compare two sets of AWS EC2 instance offerings, assuming continual usage, and see break even points and monthly savings.

http://kenlin.com/x/aws-price-comparison-chart/index.html

Fran Thomas

Great - but what I really want is an announcement about per minute billing; google, ms and rackspace all doing this now what's the hold up AWS?

Kevin

How far off are we from having some S3 storage in the free tier? I've always been suprised that thier never has been, a couple of GB's would be nice.

Cristian Calabro

I think all of us are expecting to you announce a per minute billing. Anyway, that's a great news.

Mohit Bumb

that's a great news

Tim

Hi Jeff,

Are light reserved instances staying the same? No pricing data on the new effective prices page. This would leave them in a surprisingly bad relative position - take 100 days of continuous use longer than medium to recover their initial cost.

Obviously I'm not complaining at price reductions, and my new 3yr light m3.medium will still repay its up-front cost in a year, but I'm surprised that this would be the only thing not to drop. Makes decision making around reserved instances less predictable.

Cheers,

Tim

Paul

Really disappointed that you leave out existing reserved customers from savings. We've literally just made the leap to reserved in the last month because of a the emails about the savings. Then you go and kick sand in our face!!!

Eric

To all of you guys that are asking about what will happen to the price of reserved instances already bought; I can only tell you how it worked the last two times. I'm not working for AWS or have any other information besides my previous experience using their services.

During the last two price reductions in EC2, the reduction did not affect the reserved instances at all. Same hourly charge as when the RI was bought, and no chargeback of the up-front fee.

Our strategy regarding when/if to buy RI's is as follows: 1) wait until there is a price reduction 2) buy the RI's for one year and hope there is no significant reduction during that year. 3) when the one-year plan has ended, wait until next price reduction before renewing.

Timo Lehto

Those wondering wether this could make their decision to get a reserved instance some time before actually more expensive than if they had gone for on-demand...

I don't think that's very likely, so long as you fully utilise the RI that you bought. Assuming you probably used to be able to save up to 60% with a three year RI deal (like according to this post you are after April 1st. Sorry, I'm not bothered to actually verify the exact percentages here...). Now, as they have made the on-demand instances 10-40% cheaper, the question is do you want to get a 40'% discount to the old prices or 60%? You will pay more for 3 years of on-demand with the new prices than what the old pricing of RI for 3 years would be. So even if you'd buy a new RI for 3 years on Monday (March 31st) it would likely cost less than beginning to use an on-demand instance from that point onwards continuing for 3 years. Unless there is going to be some more very significant price reductions coming within that 3 year timespan that again do not apply to old deals. Considering that they say this is the 42nd price reduction since 2008, this averages to about a price reduction every other month. 3 years is a long time in that sense, however, I suppose it is needless to say that the EC2 instances can't have dropped 10% every other month for 6 years or the prices of 2008 would have been about 10000% higher than the prices of today, in other words todays prices would be one 1% of the prices of 2008. It sure would be interesting to see how the prices have developed over the years. Would anybody have some old price charts?

ES

A lot of questions seem to address that recently purchased reserved instances might not affected by the price cuts: Could someone from AWS take a position?

Two reasons to consider goodwill on this:
- If not even the hourly rates should be affected then this renders long term RIs unattractive, since customers exclude themselves from future price cuts
- As pointed out, competitors have a different approach on how to deal with "loyalty"

Peter Wuster

We need to read between the lines for the marketing terms 'UP TO' 40%.
The point is we are not getting the full advertised benefit of the RI purchase.
I wonder if someone has done the calculation based on the reduced on-demand costs v.s. RI purchase on the real calender months bases not the oversimplify calculation like that zig-zag chart showing everywhere.
The complication of the pricing strategy is making analytically people crazy to jump into it for the optimization. Maybe that is part of the fun and earn the respect among others by claiming 'I have saved my company X% for the costs'.
After all I am really appreciate AWS keep dropping the costs so we can focus on the delivery instead of keep shopping for cheaper provider.
In this case, do you mind get 'vendor lock in' with better and cheaper services?

Valerie

Another vote for a response about whether this will be extended to those of us who just bought Reserved Instances at the old prices. In the past, you've done this. I hope you'll do it now.

Chris

I've run some maths on our current RI's

On a m2.4xlarge 12 month RI, we will be paying 25cents/instance hour more for the remainder of our 12 month term over the price we would pay if we bought the same RI now. So, over the remaining 4 months of this RI, we'll be paying $720 more than if we took the instance out on 1st April.

On another m2.4xlarge RI, that was a 3 year reserved instance, with 1 year and 32 weeks remaining, then we are paying 2cents/instance hour less than the new 12 month RI price, but 12cents/instance hour more than the new 3 year RI price - so for the remainder of our term for this RI then we will be paying $1296 more than if we were on the new 3 year RI pricing.

Next price drop, things will get worse - i really think RI pricing needs to be able to benefit from the price drops..

rad

The email states " The price reductions go into effect on April 1, 2014 and will be automatically applied to your account. " So I am assuming that my reserve instance per hour pricing will be as per the new schedule, correct? I purchased last year.

Would be nice to see micro instance go down too.

Allen Thomas

Is M3XL part of the M3 discount ?

Muazam Ali

Thanks for considering this Amazon, but please reduce the price on data transfer out more as the other service providers are offering $0.04/GB

Regards.
Muazam Ali

Dan

Cloudfront needs attention as well!!!

Dan

Interesting how amazon is behind the curve yet again and just reacting to what google has done. Once google decided to lower their google cloud prices, then Amazon followed suit. It would be nice to see Amazon lowering their prices, not because another competitor did it first, but because of its own initiative. Shameless.

Eric

Why no change to IO pricing? It is the biggest cost to transition a data center to the cloud since I need to move data before the servers. It would also make Amazon more attractive to lower the cost between AWS regions. Then I am not stuck by choosing a location before testing the data center IO performance.

Nagarjun

Amazon, you have stated this on your instances docs:

Light Utilization RIs offer the lowest upfront payment of all of the Reserved Instance types. Along with this low upfront payment, you’ll receive a significantly discounted hourly usage fee. Light Utilization RIs allow you to turn off your instance at any point and not pay the hourly fee. Light Utilization RIs are ideal for periodic workloads that only run a couple of hours a day or a few days per week. Using Light Utilization RIs, you can save up to 30% for a 1-year term and 49% for a 3-year term vs. running On- Demand Instances. The break-even point for a Light Utilization Linux RI (vs. On-Demand Instances) is 28% for a 1-year term or 11% of a 3-year term. If you expect to use your instance more than that, an RI will save you money.

Now, the RI prices of existing subscribers are not decreased and your claim is no longer valid. Why shouldn't we treat these false claims as cheating customers?

ryan

My April bill (only 1 day so far) is still showing old prices, when will these prices be adjusted?

Ian

I don't see that these price changes have taken effect yet. Was this an April fools joke, or are these price changes real? ;)

David

It is important to note that there are multiple ways to leverage these savings for us. One way is to take the savings in cost and save $114/month. Alternatively, we have the option to upscale our operations and apply these savings towards having higher Dev and Ops productivity and better experience on our internal applications. Actually, our plan is to apply these savings towards achieving 30-40% higher performance on all our workloads rather than realizing the $114/month in savings.

LocalCircles

When are you going to reduce the prices for SES (Simple Email Service)?

Prasad

Billing in AWS console, is still showing and counting according to old prices. Could you please let us all know when would this be fixed?

Anushka Dissanayaka

Does anyone know why my billing page still shows old prices for current month?

Jeff Barr

We are aware of (and working to fix) the billing issue. The AWS Support Center has the following message:

"Some customer accounts are currently not displaying the reduced EC2 pricing in the Billing Console. While we’re working to resolve this issue we want to reassure all customers that the reduced EC2 pricing will be applied to all of your April usage."

Daniele

We are disappointed that the new prices will be applied only to new reservation instance.

Jeremy

What about for the dedicated instances?

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