AWS Reduces Some Instance Price by 25%
Starting next month, several instances of Amazon Elastic Compute Cloud will be 25 cents each.
Amazon Web Services (AWS), a subsidiary of Amazon, plans to reduce the prices for its C4, T4 and T2 instances starting Dec. 1. This was announced Monday by Jeff Barr, an AWS evangelist.
“We are reducing the On Demand, Reserved Instance (Standard or Convertible) as well as Dedicated Host prices of C4, M4, T2 instances by upto 25% depending on region (Linux/RHEL/SUSE, Windows, and so on). Barr stated that price cuts are applicable to all AWS Regions.
T2 instances, which AWS calls “Burstable Performance Instances”, are designed to provide a steady amount of computing power and the ability to “burst.” to higher processing capabilities. Barr stated that these instances will be 10 percent cheaper for AWS’ Northern Virginia region than they will for the Singapore region.
The M4 instances, which AWS considers general-purpose instances, will be cheaper for the Northern Virginia, Ireland, and Frankfurt regions, and 25% less for the Singapore region.
Finaly, the C4 instances that are compute optimized will see price drops of between 5 and 20 percent for the Northern Virginia and Ireland areas and between 20 and 25 percent for the Mumbai and Singapore regions.
Users will receive price reductions automatically starting Dec. 1, Barr stated.
Barr reports that this round of cuts is AWS’ 53rd, and comes despite signs that the price war between top cloud providers may be stabilizing. Tariff Consultancy Ltd. (TCL), reported earlier this year that “the price of the public cloud appears now to be relatively stable” and that “the cloud computing provider’s emphasis is now more on service innovation than price.”
Scott Guthrie, a top Microsoft cloud executive, said this recently at a technology conference. He stated that AWS and Microsoft are now competing more on value than price.
Microsoft did however lower the cost of some Azure instances by up to 50% less than a month following Guthrie’s announcement. Google announced shortly after that it would reduce some of its cloud storage costs up to 60%.