@cloudability
@cloudability
Finding Hidden Waste In
Your AWS Infrastructure
February 10, 2016
๏ @cloudability
Introduction
Today’s Topics
Aaron Kaffen
Director of Marketing
TODAY’S SPEAKER
1. Finding waste
2. Reducing wasted usage
3. Reducing hourly cost
4. Q&A
@cloudability
Cloud Infrastructure Analytics
About Us
$2B+ 

in tracked AWS costs
@cloudability
Our Solution
How It Works
1 2 3
4 5
Spend
Monitoring
Spending visibility via custom
dashboards, budget alerts,
and daily email digests.
Cost
Allocation
Segment your cloud
costs with detailed
reports by tag, service,
usage type, etc..
Usage
Optimization
Spot under-utilized 

resources w/ instance
level usage metrics.
RI Portfolio
Optimization
Get recommendations to
buy, modify and sell the
right RIs. Then see their
impact on your spending.
Company-Wide
Governance
Organizational group
views/filtering/rollups,
multi-user access.
๏ @cloudability
Stage I: Cost visibility for all (emails, alerts, dashboards)
Stage II: Allocating costs to departments (tags, linked accounts)
Stage III: Using only what you need (underutilized, unneeded)
Stage IV: Lowering Cost Per Hour (i.e. Reserved Instances)
Stage V: Tying spending to the bottom line (unit cost)
The Five Stages of Cloud Efficiency
Cloudability
๏ @cloudability
Stage I: Cost visibility for all (emails, alerts, dashboards)
Stage II: Allocating costs to departments (tags, linked accounts)
Stage III: Using only what you need (underutilized, unneeded)
Stage IV: Lowering Cost Per Hour (new families, Reserved Instances)
Stage V: Tying spending to the bottom line (unit cost)
The Five Stages of Cloud Efficiency
Cloudability
0
45
90
135
180
Dev/Test
POC
App#1
App#3
App#2
Exec team starts
really caring
Loadtest
A story of growth
๏ @cloudability
Finding waste
You’ve got a sense that you could be spending less …
and you’re probably right.
๏ Not using what you’re paying for
๏ Buying instances that are too large
๏ Not turning off things at night
๏ Paying more than you should
The problem you’re solving
๏ @cloudability
The pieces
Finding waste
๏ Multiple major business units
๏ Lots of products or cost centers
๏ Dedicated and shared AWS
resources
๏ Distributed teams using AWS
@cloudability
where should I start
looking?
๏ @cloudability
Spending
Look at Totals First
๏ @cloudability
Compare time periods
๏ @cloudability14
See what LOBs, Services, Resources drive changes
๏ @cloudability
Soending
15
Find which services are impacting your bill
๏ @cloudability
Soending
16
Find which services are impacting your bill
๏ @cloudability
Soending
17
Dig deeper into the AWS service
@cloudability
what’s driving my costs?
๏ @cloudability
cost = usage x rate
๏ @cloudability
cost = usage x rate
@cloudability
Reducing Usage
Underutilized EC2 Instances
๏ @cloudability
Reducing Usage
Key metrics to look at:
๏ CPU utilization
๏ Bandwidth
๏ Disk I/O
๏ Days running
๏ Estimated Cost
๏ Current state
๏ Utilization hours
Finding underutilized EC2 instances
Low cpu, low bandwidth, low disk i/o, >1 day old
This example: Save $1,682 per week
Low cpu, low bandwidth, low disk i/o, >1 day old
This example: Save $1,682 per week
@cloudability
Reducing Usage
Underutilized EC2 Hours
๏ @cloudability
168hours in a week
๏ @cloudability
108nights & weekends
Don’t run the cloud like a datacenter: 

65% of the hours in a month are nights and
weekends
Testing account cost $2500 for each hour of June
Turn off 50% of Testing Instances for 4 hours per day
This example: Save $5,000 per month
Testing account cost $2500 for each hour of June
Turn off 50% of Testing Instances for 4 hours per day
This example: Save $5,000 per month
๏ @cloudability
How to turn off non-prod on nights/weekends
1. Confirm idle instance times
2. Assign instance schedules with tags
3. Run a crontab scheduler like“Valet”

- For more Google“Cloudability Valet”
Fine print: IP addresses change, need to re-tag items
๏ @cloudability
cost = usage x rate
@cloudability
Reducing Rate
Reserved Instances
@cloudability
Reservations represent sunk cost.
Modifications let you move those reservations to
maximize savings as your infrastructure changes
Modifying Reserved Instances
• Instances with Linux OS

Instance size (within family)

Availability Zone (within region)

Network (VPC or Classic)
• Instances with a licensed OS or without a family

Availability Zone (within region)

Network (VPC or Classic)
• Reservations cannot be moved between accounts
We Are Family
M1* M2* M3 M4 C1* C3 C4 R3 I2 T2 D2 G2
small
medium
large
xlarge
xlarge
2xlarge
4xlarge
medium
large
xlarge
2xlarge
2xlarge
4xlarge
10xlarge
medium
xlarge
large
xlarge
2xlarge
4xlarge
8xlarge
large
xlarge
2xlarge
4xlarge
8xlarge
large
xlarge
2xlarge
4xlarge
8xlarge
xlarge
2xlarge
4xlarge
8xlarge
micro
small
medium
large
xlarge
2xlarge
4xlarge
8xlarge
2xlarge
8xlarge
* LEGACY FAMILY
Modifying Instance Type
Instance Size Normalization Factor
micro 0.5
small 1
medium 2
large 4
xlarge 8
2xlarge 16
4xlarge 32
8xlarge 64
2xlarge
Modifying Instance Type
=16PTS
2xlarge
xlarge xlarge
Modifying Instance Type
168 8+ =
2xlarge
xlarge xlarge
large large large large
Modifying Instance Type
medium medium medium medium medium medium medium medium
2xlarge
xlarge xlarge
large large large large
Modifying Instance Type
small small small small small small small small small small small small small small small small
medium medium medium medium medium medium medium medium
2xlarge
xlarge xlarge
large large large large
Modifying Instance Type
small small small small small small small small small small small small small small small small
medium medium medium medium medium medium medium medium
2xlarge
xlarge xlarge
large large large large
Modifying Instance Type
๏ @cloudability47
RI Modifications - Save $100k+
๏ @cloudability
RI Purchases
m3-* in us-east-* - safe buy, highly modifiable - Save ~$193k
๏ @cloudability
RI Purchases
m3-* in us-east-* - safe buy, highly modifiable - Save ~$193k
๏ @cloudability
RI Purchases
i2.8xlarge - Single buy, big savings
๏ @cloudability
RI Process
1. RI Modifications
2. Small uncontroversial purchases (e.g., m2.4xlarge and m3.*)
3. Resize to newer instance families
4. Monthly purchase of new reservations
@cloudability
Reducing Rate
Instance Families
๏ @cloudability
Reducing Rate
Migrating m1 to m3
๏ Newer instance families are cheaper & faster 

(but don’t have hard drives)

๏ Look for instances that have EBS devices attached
๏ Move M1 to M3 to save $0.03-$0.10 (~15%) an hour
๏ @cloudability
Instance Type Migration Paths
Legacy Instance Type Modern Instance Type
T1
T2
M1
M1
M3
M4
C1
C3
C4
H1
I2
D2
M2
R3
CR1
๏ @cloudability
Cost Savings
Move from M1 to M3 — Save $25k to $35k/mo
@cloudability
Old Instance Families
Migration Strategy
•Proactively plan instance type migrations

Finance and Ops have to talk on this one to understand when
upgrades should happen and what impact it has on reservations
•Tactically renew reservations on legacy instances

If you’re going to run a legacy instance for a while you might as well
cover it with an RI, but only renew what you have to
High frequency reservation purchases make this transition easier
๏ @cloudability
cost = usage x rate
๏ @cloudability
Going Further
- Turn off instances that are not being used
- Autoscale resources down when load decreases
-Turn off dev/test/stage resources at night
- Rightsize the instance size/type to the load
- Migrate from old instance families to new ones (e.g., m1 to m3)
- Consider moving older S3 resources to Glacier
- Employ a‘stopinator’or Janitor Monkey
- Use Spot Instances for asynchronous workloads
- To learn more…
Many ways to increase efficiency…
@cloudability
Thank you!
Try Cloudability free
Learn more
Want a demo?
cloudability.com
blog.cloudability.com
demo@cloudability.com
@cloudability

Finding hidden waste in your AWS infrastructure - 2/11/16