[Jun AWS 101] Running Lean on AWS

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[Jun AWS 101] Running Lean on AWS

  1. 1. Running Lean on AWS 이수형 (niclee@amazon.com) Solutions Architect / AWS Korea
  2. 2. What is Cloud Computing? An analogy: think of electricity services… Power is a utility service - available to you on-demand and you pay only for what you use. You simply plug into a vast electrical grid managed by experts to get a low cost, reliable power supply – available to you with much greater efficiency than you could generate on your own.
  3. 3. Cloud Computing is a utility service - giving you access to technology resources managed by experts and available on-demand, available to you with much greater efficiency than you could generate on your own. You simply access these services over the internet, with no up-front costs and you pay only for the resources you use.
  4. 4. AWS Global Infrastructure Components Regions An independent collection of AWS resources in a defined geography A solid foundation for meeting location-dependent privacy and compliance requirements Availability Zones (AZ) Designed as independent failure zones Physically separated within a typical metropolitan region Edge Locations To deliver content to end users with lower latency A global network of edge locations supports global DNS infrastructure (Route53) and Cloud Front CDN
  5. 5. On a global footprint Region US-WEST (Oregon) EU-WEST (Ireland) ASIA PAC (Tokyo) ASIA PAC (Singapore) US-WEST (N. California) SOUTH AMERICA (Sao Paulo) US-EAST (Virginia) GOV CLOUD ASIA PAC (Sydney)
  6. 6. Availability Zone On a global footprint
  7. 7. Edge Locations Dallas(2) St.Louis Miami JacksonvilleLos Angeles (2) Palo Alto Seattle Ashburn(2) Newark New York (2) Dublin London(2) Amsterdam Stockholm Frankfurt(2) Paris(2) Singapore(2) Hong Kong Tokyo Sao Paulo South Bend San Jose Osaka Milan Sydney On a global footprint
  8. 8. US West Region (Oregon) Availability Zone A Availability Zone B Singapore Availability Zone A Availability Zone B EU West Region Availability Zone A Availability Zone C Availability Zone B Each Region has multiple Availability Zones. Availability Zones are distinct locations that are engineered to be insulated from failures in other Availability Zones and provide inexpensive, low latency network connectivity to other Availability Zones in the same Region.
  9. 9. Cloud Computing Characteristics
  10. 10. All Clouds are NOT created equally
  11. 11. You begin your Startup in a garage…
  12. 12. …and build a fantastic app
  13. 13. people love it!
  14. 14. and everyone wants to use it… Now what?!
  15. 15. Which company… …grew to 14million users in just over a year …reached 150million photos & terabytes of data …signed up 10million users in 12 hours after launching an Android app …with only 3 engineers?
  16. 16. HOW?
  17. 17. “Cloud is like a fertilizer that creates Startups” Eric Ries, author of NY Times bestseller “The Lean Startup” =
  18. 18. Benefits for Startups across the Lifecycle Why Launch on the Cloud? Lowering Costs with Smart Pricing Lowering Costs with Architecture
  19. 19. Benefits for Startups across the Lifecycle
  20. 20. “Amazon Web Services is probably the most important thing that has happened to mobile and web app developers that the press just misses. Jeff Bezos has accidentally or maybe on purpose powered a whole generation of applications.” Steve Blank, author of “The Four Steps to Epiphany”
  21. 21. “a whole generation of application…on AWS” E-commerce Social Media Media Sharing SaaS Gaming Mobile Apps Big Data – Hadoop, HPC, etc Ad hosting and analytics Storage, backup, and disaster recovery Life Sciences (sequencing, simulation, etc.)
  22. 22. 01 02 03 04 idea demo monetizescale How do I develop fast and get to market faster? How do I deal with unpredictable demand & scale up easily? How do I run lean and continue to grow my revenue?
  23. 23. Launch your infrastructure in a few clicks so you can Reduce Time to Market Pay only what for you use, with no commitment and lock in, so you can Experiment More at Lower Costs Leverage community support, SDK’s, libraries, and more to achieve Shorter Development Cycles Experiment More & Develop Faster
  24. 24. aws.amazon.com/code aws.amazon.com/architecture Code, Libs, SDK’s, Architectures
  25. 25. “AWS was the clear choice for us. They enabled us to launch our cloud solution quickly with reliable, uninterrupted, secure service to our customers.” Jaspreet Singh, Founder & CEO
  26. 26. Getting Started = FREE “AWS Free Usage Tier = more startups. Awesome” Tweet by Eric Ries Elastic Compute Cloud (EC2) Simple Storage Service (S3) DynamoDB & SimpleDB Simple Workflow (SWF) Simple Queue Service (SQS) Simple Notification Service (SNS) Relational Database Service (RDS) CloudWatch Data Transfer
  27. 27. Full Elasticity for Maximum Scalability Scale to 1000s of servers in minutes Add billions of objects with Amazon S3 Globally distribute petabytes of data Select any level of desired throughput Fully automate the process of scaling up & down
  28. 28. “AWS is great for scalable requirements, whether you need to scale up quickly, or even to scale down quickly, if required.” Vishal Gondal, CEO of Indiagames
  29. 29. 70:30 Reduce Costs & Grow revenue Pay only what for you use, with no commitment and lock in, so No Up-Front Capital Expense Leveraging our large scale, we have reduced our prices 19 times in the last years, leading to Low Costs AWS removes undifferentiated heavy lifting – allowing you to focus on your business and Generate Revenue
  30. 30. "With the time savings that the IT and development staffs obtain from the solution, AWS gives us an overall cost benefit of about 30-40%.”
  31. 31. Why Launch on the Cloud?
  32. 32. Pay as you go
  33. 33. When calculating TCO… #1 Start by understanding your use cases & usage patterns
  34. 34. On and Off Fast Growth Variable peaks Predictable peaks Usage Patterns
  35. 35. Traditional HW / Hosting On and Off Fast Growth Predictable peaksVariable peaks WASTE CUSTOMER DISSATISFACTION
  36. 36. AWS = Elastic Capacity Fast GrowthOn and Off Predictable peaksVariable peaks
  37. 37. When calculating TCO… #1 Start by understanding your use cases & usage patterns #2 Apples to Apples – Take all the fixed costs into consideration
  38. 38. When calculating TCO… #1 Start by understanding your use cases & usage patterns #2 Apples to Apples – Take all the fixed costs into consideration #3 Leverage economies of scale & price cuts
  39. 39. Each day AWS adds the equivalent server capacity to power Amazon when it was a global, $5.2B enterprise (circa 2003)
  40. 40. Massive economies of scale and efficiency improvements allow us to continually lower prices – 26 price cuts in last 6 years
  41. 41. When calculating TCO… #1 Start by understanding your use cases & usage patterns #2 Apples to Apples – Take all the fixed costs into consideration #3 Leverage economies of scale & price cuts #4 Take a look at what’s included: Intangible Cost Savings !
  42. 42. New Customers Amazon EC2 Amazon RDS Amazon ELB Amazon S3 Amazon EBS For All Customers Amazon SQS/SNS Amazon DynamoDB Amazon SES Amazon SWF And more… AWS Elastic Beanstalk AWS CloudFormation AWS IAM Auto Scaling Consolidated Billing No Charge for Inbound Data Transfer Data Transfer between Instances within an Availability Zone Free Usage Tier Did you know? Free Services Data Transfer
  43. 43. With AWS… …standing on the shoulder of giants.
  44. 44. These Indian companies… are getting the same… as these companies: DURABILITY SECURITY SCALABILITY RELIABILITY AFFORDABILITY
  45. 45. These Indian companies benefit from AWS… just like these companies: E-COMMERCE CONSUMER APPS GAMING ENTERPRISE / SaaS MEDIA
  46. 46. Lowering Costs with Smart Pricing
  47. 47. Multiple pricing models allow you to optimize costs for both variable and stable workloads
  48. 48. Save more when you reserve On-demand Instances • Pay as you go • Starts from $0.02/Hour Reserved Instances • One time low upfront fee + Pay as you go • $23 for 1 year term and $0.01/Hour Utilization RI option Savings over On-Demand <10% On-Demand 10% - 40% Light Utilization RI Up to 56% 40% - 75% Medium Utilization RI Up to 66% >75% Heavy Utilization RI Up to 71% 3 versions: • Light Utilization RI • Medium Utilization RI • Heavy Utilization RI 2 terms: • 1-year • 3-year
  49. 49. • 80 million objects stored in S3 with 410 terabytes of user data • 150 EC2 instances in the web tier • 90 instances for in-memory caching • 35 instances used for internal purposes • 70 master databases with a parallel set of backup databases in different regions around the world for redundancy Pinterest attracted almost 18 million visitors in March, a 50% increase from February (ComScore). One of the fastest growing sites in the history of the web…
  50. 50. • Most traffic happens in the afternoons and evenings, so they reduce the number of instances at night by 40%. • At peak traffic $52 an hour is spent on EC2 and at night, during off peak, the spend is as little as $15 an hour. The difference is an amazing 71%
  51. 51. On-demand Instances • Pay as you go • Starts from $0.02/Hour Reserved Instances • One time low upfront fee + Pay as you go • $23 (1 year) $0.01/Hour Spot Instances • Requested Bid Price and Pay as you go • Varying…$0.005/Hour at 9am today Save more money by using Spot Instances Up to 85% savings over On Demand pricing
  52. 52. Spot Use cases Use Case Types of Applications Batch Processing Generic background processing (scale out computing) Hadoop Hadoop/MapReduce processing type jobs (e.g. Search, Big Data, etc.) Scientific Computing Scientific trials/simulations/analysis in chemistry, physics, and biology Video and Image Processing/Rendering Transform videos into specific formats Testing Provide testing of software, web sites, etc Web/Data Crawling Analyzing data and processing it Financial Hedgefund analytics, energy trading, etc HPC Utilize HPC servers to do embarrassingly parallel jobs Cheap Compute Backend servers for Facebook games
  53. 53. Lowering Costs with Architecture
  54. 54. “Give me 4 fault tolerant algorithms and I can pick the best one almost with my eyes closed. If you then ask me which one is best for the business, in terms of dollar costs, I would be clueless.” An engineer named Werner Vogels, CTO, Amazon
  55. 55. 1. CACHE at the edge to offload static and dynamic content 2. DRY (‘Don’t Repeat Yourself’) 3. LOAD BALANCE from the start 4. AUTO SCALING done right 5. PILOT LIGHT for smart & cost effective DR 6. DATABASE smarts 7. A/B TEST for rapid prototyping & innovation Lowering Costs with “Best Practice Architecting”
  56. 56. Overview of Services Compute Content Delivery Storage Database Application Services Networking Deployment & Management
  57. 57. CACHE at the edge to offload static & dynamic content • reduce your compute demand and costs • improve end-user experience • increase reliability and durability + Reduce EC2 Costs by Caching & Off-loading
  58. 58. DRY (don’t repeat yourself) • original vs. derived assets : 33% savings • single reference and consistency • control, accurate logs and tracking S3 (or Glacier) RRS Reduce Costs of Storage by using S3 “RRS”
  59. 59. LOAD BALANCE from the start • ready for massive scale, high reliability • uninterrupted growth and evolution • stateless and redundant array Availability Zone Availability Zone Lowering Costs with “Best Practice Architecting”
  60. 60. Buuk for Singapore Press Holding (SPH)
  61. 61. AUTO-SCALING done right with Real Time reaction response • Elastic Load Balancing and (event driven) Auto Scaling • notification of pending news flash (with audible alarm) • on-demand ramp up of capacity (6 mins.) • subscriber alert push delivered • mass response traffic handled (followed by ramp down) Lowering Costs with “Best Practice Architecting”
  62. 62. Reduce Costs of DR with “Pilot Light” design PILOT LIGHT for smart & cost effective DR • In traditional IT, Disaster Recovery (DR) is an after-thought • Costs of DR site are often an additional 80% of main DC • Problems occur in Layer 8 of OSI-model (anyone?) • With AWS, DR can be built into your architecture • Example: ‘Pilot Light’ design, which is cost effective and provides fast Recovery Time Objective / Recovery Point Objective It looks like this…
  63. 63. Basic level EC2 Provisioned yet Dormant Singapore Region US East Region
  64. 64. Auto scaling Group Resize to production Capacity and/or add read replicas Start up in minutes, Auto scale up in minutes Singapore Region US East Region Auto scaling Group
  65. 65. Best Practices DATABASE smarts • scale out and share work • optimal performance, minimize load • enhance reliability, ensure data safety • cost reduction Availability Zone Availability Zone
  66. 66. Reduce Costs of Test/Dev and A/B Testing A/B TEST for rapid prototyping & innovation • inexpensive idea validation • seamless switch over and versioning • rapid dev / test agility
  67. 67. In Summary…
  68. 68. AWS Pricing Philosophy Pay as you go Pay less per unit when you use more Pay even less when you reserve • Reserved pricing Pay even less when you architect for cost optimization • Smart architecting and leveraging AWS managed services Pay even less as AWS grows • AWS economies of scale result in continuous price reductions What does this look like in practice?
  69. 69. An example Enterprise software provider in APAC Focused on SaaS for storage, security, collaboration, etc. Backed by leading VC’s in the region Strong growth – winning customers globally Focused on profitability & reducing unit costs Worked closely with the AWS team to optimize its architecture
  70. 70. Profit Growth -10% price drop in S3 -20% RI purchase -22% Migration Cassandra to Dynamo -18% Price drop in S3 of 25% 54% reduction in unit costs
  71. 71. Questions? 이수형 (niclee@amazon.com) Solutions Architect / AWS Korea

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