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Cloud Instances Price Comparison: AWS vs Azure vs Google vs IBM

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The cloud price wars are heating up with Azure’s announcement of reserved instances, the introduction of per-second billing by AWS and Google, and other recent changes from the leading cloud providers. To get the most out of your cloud spend, you need to stay on top of the latest information on price cuts and changes to pricing models. And if your organization is multi-cloud, you may even want to adjust your investment across your cloud providers based on who has the lowest prices.

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Cloud Instances Price Comparison: AWS vs Azure vs Google vs IBM

  1. 1. CLOUD INSTANCES PRICE COMPARISON: AWS VS AZURE VS GOOGLE VS IBM
  2. 2. • Kim Weins • VP Marketing and Cloud Cost Strategy, RightScale Presenters
  3. 3. POLLS
  4. 4. Two Ways to Manage Cloud 3
  5. 5. Multi-Cloud is the Strategy of Choice Multi-Cloud 85%
  6. 6. • What’s New • Comparing Discount Options • Comparing Cloud Prices • Winners • Takeaways Agenda 5
  7. 7. WHAT’S CHANGING? PRICES ARE DROPPING PRICING OPTIONS MORE SIMILAR
  8. 8. • Per second billing • AWS adds per second billing for EC2 and a few other services • Google extends per-second billing with 1 minute minimum • Azure offers per second billing for container instances • Discounting gone wild • Azure adds reserved instances • Google adds Committed Use Discounts • AWS adds 1 Year Convertible Reserved Instances • New instances in our comparison • AWS adds C5s • Azure Dv3, Ev3, Fv2 • Hyperthreading on v3s -- pay attention to the ACUs • IBM adds “families” What’s Changed in the Last 9 Months 7
  9. 9. • Local Disk • AWS steering you away from local disk • More instances with EBS only • More EBS optimization • Prices on instances with local disk not dropping as much (eg m3 vs m4) • Google dropped prices on local disk • They were a significant premium • Latest Azure instances have smaller local disk • Prices dropped on 68% of the instances we included in this analysis • AWS dropped 19 of 26 prices • Azure dropped 22 of 26 • Google dropped 4 of 26 • IBM dropped 26 of 26 Cont...What’s Changed in the Last 9 Months 8
  10. 10. DISCOUNT OPTIONS
  11. 11. AWS RIs Azure RIs Google SUD/CUD IBM Monthly (or Negotiated) Length of commitment 1 or 3 years 1 or 3 years SUD: No commitment CUD: 1 or 3 years Monthly: Commit by month Range of discount levels 1Y 24-58% 3Y 32-75% Up to 72% SUD: Up to 30% CUD: 37% (1Y) or 55% (3Y) Monthly: About 10% How long instance must run to save Breakeven 1Y 5-9 months 3Y 9-24 months TBD SUD: 25% of month CUD 1Y: 7.5 months CUD 3Y: 16 months Month Payment options No Upfront Partial Upfront All Upfront All Upfront No Upfront Negotiated Other documented programs -Volume discounts, for RIs -Spot instances -Hybrid Use Discount -Enterprise Agreement Preemptible VMs Negotiated Comparing Compute Discount Options
  12. 12. AWS RIs Azure RIs Google SUD/CUD Buy based on: Region Instance family OS Region Instance family Instance size Region # of vCPUs # of GBs RAM Flexibility Convertible: Can exchange for combo of RIs of equal or greater value Standard: Availability zone, Size, Network Can change across any region or series Automatically applies to all instances in the region Returnable Can sell on Marketplace (often impossible to find buyers) Yes - cost TBD No Commitment Discounts
  13. 13. AWS Reserved Instances: Standard Zone AWS Reserved Instances: Standard Regional AWS Reserved Instances: Convertible (lower discount) Buy based on: Region AZ Instance family Instance Size OS Network Type Region Instance family Instance size OS Network Type Region Instance family Instance size OS Network Type Automatic changes None Applies to any AZ Applies to any size in the same family (vanilla Linux only) Same as Standard Manual changes AZ Instance size Network Type Network Type Exchange for equal value of RIs Three Types of AWS Reserved Instances
  14. 14. About Google Sustained Use Discount (SUD) • No commitment. The more you use an instance family during the month, the higher the discount. Usage Level % of Billing Cycle Incremental Rate % of On-Demand Baseline Sample Rate n1-standard-1 Total Cost 0-25% 100% $0.050 $9.00 25-50% 80% $0.040 $7.20 50-75% 60% $0.030 $5.40 75-100% 40% $0.020 $3.60 Monthly Cost at 100% usage 30% discount $25.20
  15. 15. Google SUD uses “Inferred Instances” Source: Google
  16. 16. • Commit to # of vCPUs and GBs of RAM • 1 yr (37% discount) or 3 yr (55% discount) • Can be used for any instance type or size in a region • SUD still applies for non-committed use About Google Committed Use Discount
  17. 17. RightScale Optima: Reserved Instance Plan 16
  18. 18. INSTANCE PRICE COMPARISON
  19. 19. VM Type AWS AWS Mem AWS Disk Google Google Mem Google Disk Azure Azure Mem Azure Disk IBM IBM Mem IBM Disk Standard 2 vCPU w SSD m3.large 7.5 32 n1-standard-2 7.5 375 D2s v3 8 32 BL1.2x8.200 8 200 Standard 2 vCPU no SSD m4.large 8 0 n1-standard-2 7.5 0 D2s v3 8 32 B1.2x8.25 8 25 Highmem 2 vCPU w SSD r3.large 15 32 n1-highmem-2 13 375 E2s v3 16 16 M1.2x16x25 16 25 Highmem 2 vCPU no SSD r4.large 15.25 0 n1-highmem-2 13 0 E2s v3 16 16 M1.2x16x25 16 25 Highcpu 2 vCPU w SSD c3.large 3.75 32 n1-highcpu-2 1.8 375 F2 v2 4 32 C1.2x2.25 2 25 Highcpu 2 vCPU no SSD c5.large 4 0 n1-highcpu-2 1.8 0 F2 v2 4 32 C1.2x2.25 2 25 AWS vs. Azure vs. Google vs. IBM Compute Source: RightScaleAs of Nov 13, 2017
  20. 20. VM Type AWS AWS Mem AWS Disk Google Google Mem Google Disk Azure Azure Mem Azure Disk IBM IBM Mem IBM Disk Standard 2 vCPU w SSD m3.large 7.5 32 n1-standard-2 7.5 375 D2s v3 8 32 BL1.2x8.200 8 200 Standard 2 vCPU no SSD m4.large 8 0 n1-standard-2 7.5 0 D2s v3 8 32 B1.2x8.25 8 25 Highmem 2 vCPU w SSD r3.large 15 32 n1-highmem-2 13 375 E2s v3 16 16 M1.2x16x25 16 25 Highmem 2 vCPU no SSD r4.large 15.25 0 n1-highmem-2 13 0 E2s v3 16 16 M1.2x16x25 16 25 Highcpu 2 vCPU w SSD c3.large 3.75 32 n1-highcpu-2 1.8 375 F2 v2 4 32 C1.2x2.25 2 25 Highcpu 2 vCPU no SSD c5.large 4 0 n1-highcpu-2 1.8 0 F2 v2 4 32 C1.2x2.25 2 25 AWS vs. Azure vs. Google vs. IBM Compute Source: RightScaleAs of Nov 13, 2017 Different amounts of memory on HighCPU
  21. 21. VM Type AWS AWS Mem AWS Disk Google Google Mem Google Disk Azure Azure Mem Azure Disk IBM IBM Mem IBM Disk Standard 2 vCPU w SSD m3.large 7.5 32 n1-standard-2 7.5 375 D2s v3 8 32 BL1.2x8.200 8 200 Standard 2 vCPU no SSD m4.large 8 0 n1-standard-2 7.5 0 D2s v3 8 32 B1.2x8.25 8 25 Highmem 2 vCPU w SSD r3.large 15 32 n1-highmem-2 13 375 E2s v3 16 16 M1.2x16x25 16 25 Highmem 2 vCPU no SSD r4.large 15.25 0 n1-highmem-2 13 0 E2s v3 16 16 M1.2x16x25 16 25 Highcpu 2 vCPU w SSD c3.large 3.75 32 n1-highcpu-2 1.8 375 F2 v2 4 32 C1.2x2.25 2 25 Highcpu 2 vCPU no SSD c5.large 4 0 n1-highcpu-2 1.8 0 F2 v2 4 32 C1.2x2.25 2 25 AWS vs. Azure vs. Google vs. IBM Compute Source: RightScaleAs of Nov 13, 2017 AWS has families with and without local disk
  22. 22. VM Type AWS AWS Mem AWS Disk Google Google Mem Google Disk Azure Azure Mem Azure Disk IBM IBM Mem IBM Disk Standard 2 vCPU w SSD m3.large 7.5 32 n1-standard-2 7.5 375 D2s v3 8 32 BL1.2x8.200 8 200 Standard 2 vCPU no SSD m4.large 8 0 n1-standard-2 7.5 0 D2s v3 8 32 B1.2x8.25 8 25 Highmem 2 vCPU w SSD r3.large 15 32 n1-highmem-2 13 375 E2s v3 16 16 M1.2x16x25 16 25 Highmem 2 vCPU no SSD r4.large 15.25 0 n1-highmem-2 13 0 E2s v3 16 16 M1.2x16x25 16 25 Highcpu 2 vCPU w SSD c3.large 3.75 32 n1-highcpu-2 1.8 375 F2 v2 4 32 C1.2x2.25 2 25 Highcpu 2 vCPU no SSD c5.large 4 0 n1-highcpu-2 1.8 0 F2 v2 4 32 C1.2x2.25 2 25 AWS vs. Azure vs. Google vs. IBM Compute Source: RightScaleAs of Nov 13, 2017 Google lets you add on local SSD but min is 375 GB
  23. 23. VM Type AWS AWS Mem AWS Disk Google Google Mem Google Disk Azure Azure Mem Azure Disk IBM IBM Mem IBM Disk Standard 2 vCPU w SSD m3.large 7.5 32 n1-standard-2 7.5 375 D2s v3 8 32 BL1.2x8.200 8 200 Standard 2 vCPU no SSD m4.large 8 0 n1-standard-2 7.5 0 D2s v3 8 32 B1.2x8.25 8 25 Highmem 2 vCPU w SSD r3.large 15 32 n1-highmem-2 13 375 E2s v3 16 16 M1.2x16x25 16 25 Highmem 2 vCPU no SSD r4.large 15.25 0 n1-highmem-2 13 0 E2s v3 16 16 M1.2x16x25 16 25 Highcpu 2 vCPU w SSD c3.large 3.75 32 n1-highcpu-2 1.8 375 F2 v2 4 32 C1.2x2.25 2 25 Highcpu 2 vCPU no SSD c5.large 4 0 n1-highcpu-2 1.8 0 F2 v2 4 32 C1.2x2.25 2 25 AWS vs. Azure vs. Google vs. IBM Compute Source: RightScaleAs of Nov 13, 2017 Azure always includes local disk
  24. 24. VM Type AWS AWS Mem AWS Disk Google Google Mem Google Disk Azure Azure Mem Azure Disk IBM IBM Mem IBM Disk Standard 2 vCPU w SSD m3.large 7.5 32 n1-standard-2 7.5 375 D2s v3 8 32 BL1.2x8.200 8 200 Standard 2 vCPU no SSD m4.large 8 0 n1-standard-2 7.5 0 D2s v3 8 32 B1.2x8.25 8 25 Highmem 2 vCPU w SSD r3.large 15 32 n1-highmem-2 13 375 E2s v3 16 16 M1.2x16x25 16 25 Highmem 2 vCPU no SSD r4.large 15.25 0 n1-highmem-2 13 0 E2s v3 16 16 M1.2x16x25 16 25 Highcpu 2 vCPU w SSD c3.large 3.75 32 n1-highcpu-2 1.8 375 F2 v2 4 32 C1.2x2.25 2 25 Highcpu 2 vCPU no SSD c5.large 4 0 n1-highcpu-2 1.8 0 F2 v2 4 32 C1.2x2.25 2 25 AWS vs. Azure vs. Google vs. IBM Compute Source: RightScaleAs of Nov 13, 2017 IBM includes 25GB disk by default.(Some local. some SAN)
  25. 25. VM Type US Linux AWS OD Hourly Google OD Hourly Azure OD Hourly IBM OD Hourly AWS OD /GB RAM Google OD /GB RAM Azure OD /GB RAM IBM OD /GB RAM Standard 2 vCPU w Local SSD $0.133 $0.136 $0.100 $0.137 $0.018 $0.018 $0.013 $0.017 Standard 2 vCPU no Local disk $0.100 $0.095 $0.100 $0.112 $0.013 $0.013 $0.013 $0.014 Highmem 2 vCPU w Local SSD $0.166 $0.159 $0.133 $0.179 $0.011 $0.012 $0.008 $0.011 Highmem 2 vCPU no Local disk $0.133 $0.118 $0.133 $0.179 $0.0089 $0.009 $0.008 $0.011 Highcpu 2 vCPU w Local SSD $0.105 $0.112 $0.085 $0.075 $0.028 $0.062 $0.021 $0.038 Highcpu 2 vCPU no Local disk $0.085 $0.071 $0.085 $0.075 $0.021 $0.039 $0.021 $0.038 AWS vs. Azure vs. Google vs. IBM On-Demand Hourly Source: RightScaleAs of Nov 13, 2017
  26. 26. VM Type US Linux AWS OD Hourly Google OD Hourly Azure OD Hourly IBM OD Hourly AWS OD /GB RAM Google OD /GB RAM Azure OD /GB RAM IBM OD /GB RAM Standard 2 vCPU w Local SSD $0.133 $0.136 $0.100 $0.137 $0.018 $0.018 $0.013 $0.017 Standard 2 vCPU no Local disk $0.100 $0.095 $0.100 $0.112 $0.013 $0.013 $0.013 $0.014 Highmem 2 vCPU w Local SSD $0.166 $0.159 $0.133 $0.179 $0.011 $0.012 $0.008 $0.011 Highmem 2 vCPU no Local disk $0.133 $0.118 $0.133 $0.179 $0.009 $0.009 $0.008 $0.011 Highcpu 2 vCPU w Local SSD $0.105 $0.112 $0.085 $0.075 $0.028 $0.062 $0.021 $0.038 Highcpu 2 vCPU no Local disk $0.085 $0.071 $0.085 $0.075 $0.021 $0.039 $0.021 $0.038 AWS vs. Azure vs. Google vs. IBM On-Demand Hourly Source: RightScaleAs of Nov 13, 2017
  27. 27. VM Type US Linux AWS 1Y RI Annual Google 1Y CUD Annual Azure EA 30% off Annual IBM Monthly + 30% off Annual AWS 1Y RI Annual /GB RAM Google 1Y CUD Annual /GB RAM Azure EA 30% off Annual /GB RAM IBM Monthly + 30% off Annual /GB RAM Standard 2 vCPU w Local SSD $867 $884 $613 $764 $116 $118 $77 $95 Standard 2 vCPU no Local disk $622 $524 $613 $624 $78 $70 $77 $78 Highmem 2 vCPU w Local SSD $946 $1,013 $816 $998 $63 $78 $51 $62 Highmem 2 vCPU no Local disk $850 $653 $816 $998 $56 $50 $51 $62 Highcpu 2 vCPU w Local SSD $666 $751 $521 $418 $178 $417 $130 $209 Highcpu 2 vCPU no Local disk $543 $391 $521 $418 $136 $217 $130 $209 AWS vs. Azure vs. Google vs. IBM Discounted Annual Source: RightScaleAs of Nov 13, 2017
  28. 28. Hourly On-Demand Cost by Region: Standard 2 vCPU 27 Google Azure Google Azure Google Azure
  29. 29. Annual Cost by Region: No Local Disk 28 Google lowest across the board
  30. 30. Annual Cost by Region: With Local SSD 29 Azure Azure Google Azure Google Azure
  31. 31. Annual Cost: Attached Storage 30 Google IBM
  32. 32. Annual Cost: Linux vs Windows 31 Google Google Google IBM
  33. 33. Annual Cost by Flavor: No Local Disk 32 Google lowest across the board
  34. 34. Annual Cost by Flavor: Local SSD 33 Azure Azure Google Azure IBM IBM
  35. 35. Annual Cost by Flavor per GB RAM: No Local Disk 34 Google Google Google Google Azure Azure
  36. 36. Annual Cost by Flavor per GB RAM: Local SSD 35 Azure lowest across the board
  37. 37. AWS Google Azure IBM Lowest Price 0 24 18 4 Highest Price 15 9 6 19 Who Has Lowest and Highest Prices? We looked at 46 scenarios for this webinar. (There are many more)
  38. 38. AWS Google Azure IBM On-Demand Annual $1,667 $1,605 $1,436 $1,871 Discounted Annual $1,235 $1,486 $1,022 $1,192 Linux Scenario Totals (per GB RAM) Highly dependent on your negotiated discounts
  39. 39. • Type of storage matters • If you need local disk, Azure tends to be lowest • If no local disk, Google tends to be lowest • For attached volumes, Google and IBM • Discounting matters • Google is strong in on-demand for continuous workloads due to Sustained Use Discount • Azure Reserved Instances may reduce Azure prices further • Your negotiated discounts matter - especially for IBM, but also additional discounts for other clouds Tips 38
  40. 40. • AWS often provides more flexible options • Instances with or without local storage, storage with or without PIOPs • Partial/All Upfront 1yr RIs or 3 yr RIs or can save more • Google SUDs reduce On-Demand costs, CUDs save more • Is often the lowest cost (unless you require local storage) • Don’t use local storage unless you absolutely need it – Persistent Disk is cheaper • Azure IS matching or beating AWS On-Demand prices • Your level of EA discount makes a difference in your discounted costs • Consider Azure Reserved Instances (available shortly) • IBM is going to be about the negotiated discounts • Lower attached storage pricing • VERY good prices on Windows Cloud Provider Specific Tips
  41. 41. • Lowest cost depends on • Your use case • Your need for local storage • Amount and Type of RIs you are buying on AWS or CUDs on Google • Your level of discount on Azure and IBM • Make sure you… • Pick the right regions • Don’t overprovision • Make the right level of “commitments” to get discounts • Thinks Multi-Cloud • Negotiating leverage • Pick the lowest cost option for each dev/test/batch workload Takeaways
  42. 42. A Multi-Cloud Approach Can Save You Money 41
  43. 43. Contact sales@rightscale.com for more info To compare features of cloud providers: cloudcomparison.rightscale.com For webinar comparing storage for cloud providers: https://www.rightscale.com/webinars/lp/aws-vs-azure-vs-google -cloud-storage-webinar For other webinars: https://www.rightscale.com/webinars Q&A 42

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