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# EC2: Virtual Machines
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## What is Amazon EC2?
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Amazon Elastic Compute Cloud (Amazon EC2) provides scalable computing capacity in the Amazon Web Services (AWS) Cloud.
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* EC2 is one of the most popular of AWS’ offering
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* EC2 = Elastic Compute Cloud = Infrastructure as a Service
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* It mainly consists in the capability of :
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* Renting virtual machines (EC2)
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* Storing data on virtual drives (EBS)
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* Distributing load across machines (ELB)
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* Scaling the services using an auto-scaling group (ASG)
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* Knowing EC2 is fundamental to understand how the Cloud works
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## EC2 sizing & configuration options
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* Operating System (OS): Linux, Windows or Mac OS
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* How much compute power & cores (CPU)
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* How much random-access memory (RAM)
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* How much storage space:
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* Network-attached (EBS & EFS)
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* hardware (EC2 Instance Store)
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* Network card: speed of the card, Public IP address
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* Firewall rules: **security group**
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* Bootstrap script (configure at first launch): EC2 User Data
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## EC2 User Data
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* It is possible to bootstrap our instances using an **EC2 User data** script.
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* **bootstrapping** means launching commands when a machine starts
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* That script is **only run once** at the instance **first start**
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* EC2 user data is used to automate boot tasks such as:
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* Installing updates
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* Installing software
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* Downloading common files from the internet
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* Anything you can think of
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* The EC2 User Data Script runs with the root user
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## EC2 Instance Types - Overview
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* You can use different types of EC2 instances that are optimised for different use cases (<https://aws.amazon.com/ec2/instance-types/>)
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* [General Purpose](#general-purpose)
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* [Compute Optimized](#compute-optimized)
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* [Memory Optimized](#memory-optimized)
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* [Storage Optimized](#storage-optimized)
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* Accelerated Computing
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* AWS has the following naming convention: m5.2xlarge
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* m: instance class
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* 5: generation (AWS improves them over time)
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* 2xlarge: size within the instance class
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## General Purpose
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* Great for a diversity of workloads such as web servers or code repositories
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* Balance between:
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* Compute
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* Memory
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* Networking
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## Compute Optimized
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* Great for compute-intensive tasks that require high performance processors:
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* Batch processing workloads
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* Media transcoding
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* High performance web servers
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* High performance computing (HPC)
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* Scientific modeling & machine learning
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* Dedicated gaming servers
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## Memory Optimized
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* Fast performance for workloads that process large data sets in memory
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* Use cases:
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* High performance, relational/non-relational databases
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* Distributed web scale cache stores
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* In-memory databases optimized for BI (business intelligence)
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* Applications performing real-time processing of big unstructured data
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## Storage Optimized
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* Great for storage-intensive tasks that require high, sequential read and write access to large data sets on local storage
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* Use cases:
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* High frequency online transaction processing (OLTP) systems
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* Relational & NoSQL databases
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* Cache for in-memory databases (for example, Redis)
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* Data warehousing applications
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* Distributed file systems
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## Introduction to Security Groups
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* Security Groups are the fundamental of network security in AWS
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* They control how traffic is allowed into or out of our EC2 Instances.
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* Security groups only contain allow rules
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* Security groups rules can reference by IP or by security group
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## Deeper Dive
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* Security groups are acting as a “firewall” on EC2 instances
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* They regulate:
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* Access to Ports
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* Authorised IP ranges – IPv4 and IPv6
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* Control of inbound network (from other to the instance)
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* Control of outbound network (from the instance to other)
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## The fundamental of network security in AWS (Good to know)
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* Can be attached to multiple instances
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* Locked down to a region / VPC combination
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* Does live “outside” the EC2 – if traffic is blocked the EC2 instance won’t see it
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* It’s good to maintain one separate security group for SSH access
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* If your application is not accessible (time out), then it’s a security group issue
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* If your application gives a “connection refused“ error, then it’s an application error or it’s not launched
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* All inbound traffic is blocked by default
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* All outbound traffic is authorised by default
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## Classic Ports to know
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* 22 = SSH (Secure Shell) - log into a Linux instance
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* 21 = FTP (File Transfer Protocol) – upload files into a file share
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* 22 = SFTP (Secure File Transfer Protocol) – upload files using SSH
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* 80 = HTTP – access unsecured websites
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* 443 = HTTPS – access secured websites
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* 3389 = RDP (Remote Desktop Protocol) – log into a Windows instance
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## EC2 Instance Launch Types
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* [**On Demand Instances**](#on-demand-instance): short workload, predictable pricing
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* [**Reserved**](#reserved-instances): (1 & 3 years)
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* **Reserved Instances**: long workloads
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* **Convertible Reserved Instances**: long workloads with flexible instances
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* [**Savings Plans**](#savings-plans) (1 & 3 years): commitment to an amount of usage, long workload
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* [**Spot Instances**](#spot-instances): short workloads, for cheap, can lose instances
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* [**Dedicated Instances**](#dedicated-instances): no other customers will share your hardware
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* [**Dedicated Hosts**](#dedicated-hosts): book an entire physical server, control instance placement
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* [**Capacity Reservations**](#capacity-reservations): reserve capacity in a specific AZ for any duration
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### On Demand Instance
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* Pay for what you use:
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* Linux or Windows - billing per second, after the first minute
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* All other operating systems - billing per hour
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* Has the highest cost but no upfront payment
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* No long-term commitment
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* Recommended for **short-term** and **un-interrupted workloads**, where you can't predict how the application will behave
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### Reserved Instances
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* Up to 72% discount compared to On-demand
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* You reserve a specific instance attributes (Instance Type, Region, Tenancy, OS)
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* Reservation Period – 1 year (+discount) or 3 years (+++discount)
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* Payment Options – No Upfront (+), Partial Upfront (++), All Upfront (+++)
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* Reserved Instance’s Scope – Regional or Zonal (reserve capacity in an AZ)
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* Recommended for steady-state usage applications (think database)
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* You can buy and sell in the Reserved Instance Marketplace
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* Convertible Reserved Instance
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* Can change the EC2 instance type, instance family, OS, scope and tenancy
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* Up to 66% discount
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### Savings Plans
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* Get a discount based on long-term usage (up to 72% - same as RIs)
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* Commit to a certain type of usage ($10/hour for 1 or 3 years)
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* Usage beyond EC2 Savings Plans is billed at the On-Demand price
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* Locked to a specific instance family & AWS region (e.g., M5 in us-east-1)
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* Flexible across:
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* Instance Size (e.g., m5.xlarge, m5.2xlarge)
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* OS (e.g., Linux, Windows)
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* Tenancy (Host, Dedicated, Default)
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### Spot Instances
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* Can get a discount of up to 90% compared to On-demand
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* Instances that you can “lose” at any point of time if your max price is less than the current spot price
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* The MOST cost-efficient instances in AWS
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* Useful for workloads that are resilient to failure
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* Batch jobs
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* Data analysis
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* Image processing
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* Any distributed workloads
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* Workloads with a flexible start and end time
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* Not suitable for critical jobs or databases
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### Dedicated Hosts
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* A physical server with EC2 instance capacity fully dedicated to your use
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* Allows you address compliance requirements and use your existing server- bound software licenses (per-socket, per-core, pe—VM software licenses)
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* Purchasing Options:
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* On-demand – pay per second for active Dedicated Host
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* Reserved - 1 or 3 years (No Upfront, Partial Upfront, All Upfront)
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* The most expensive option
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* Useful for software that have complicated licensing model (BYOL – Bring Your Own License)
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* Or for companies that have strong regulatory or compliance needs
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### Dedicated Instances
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* Instances run on hardware that’s dedicated to you
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* May share hardware with other instances in same account
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* No control over instance placement (can move hardware after Stop / Start)
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### Capacity Reservations
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* Reserve On-Demand instances capacity in a specific AZ for any duration
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* You always have access to EC2 capacity when you need it
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* No time commitment (create/cancel anytime), no billing discounts
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* Combine with Regional Reserved Instances and Savings Plans to benefit from billing discounts
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* You’re charged at On-Demand rate whether you run instances or not
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* Suitable for short-term, uninterrupted workloads that needs to be in a specific AZ
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## Which purchasing option is right for me?
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* On demand: coming and staying in resort whenever we like, we pay the full price
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* Reserved: like planning ahead and if we plan to stay for a long time, we may get a good discount.
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* Savings Plans: pay a certain amount per hour for certain period and stay in any room type (e.g., King, Suite, Sea View, …)
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* Spot instances: the hotel allows people to bid for the empty rooms and the highest bidder keeps the rooms. You can get kicked out at any time
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* Dedicated Hosts: We book an entire building of the resort
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* Capacity Reservations: you book a room for a period with full price even you don’t stay in it
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## Price Comparison Example – m4.large – us-east-1
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Price Type | Price (per hour)
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------------ | ------------
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On-Demand | $0.10
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Spot Instance (Spot Price) | $0.038 - $0.039 (up to 61% off)
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Reserved Instance (1 year) | $0.062 (No Upfront) - $0.058 (All Upfront)
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Reserved Instance (3 years) | $0.043 (No Upfront) - $0.037 (All Upfront)
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EC2 Savings Plan (1 year) | $0.062 (No Upfront) - $0.058 (All Upfront)
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Reserved Convertible Instance (1 year) | $0.071 (No Upfront) - $0.066 (All Upfront)
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Dedicated Host | On-Demand Price
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Dedicated Host Reservation | Up to 70% off
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Capacity Reservations | On-Demand Price
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## Shared Responsibility Model for EC2
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AWS | USER
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------- | -------
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Infrastructure (global network security) | Security Groups rules
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Isolation on physical hosts | Operating-system patches and updates
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Replacing faulty hardware | Software and utilities installed on the EC2 instance
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Compliance validation | IAM Roles assigned to EC2 & IAM user access management, Data security on your instance
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## EC2 Section – Summary
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* EC2 Instance: AMI (OS) + Instance Size (CPU + RAM) + Storage + security groups + EC2 User Data
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* Security Groups: Firewall attached to the EC2 instance
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* EC2 User Data: Script launched at the first start of an instance
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* SSH: start a terminal into our EC2 Instances (port 22)
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* EC2 Instance Role: link to IAM roles
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* Purchasing Options: On-Demand, Spot, Reserved (Standard + Convertible + Scheduled), Dedicated Host, Dedicated Instance
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