There are several pricing models defined in EC2 that allow us to use the resources in the most economical way possible while allowing AWS to achieve very high utilization of the EC2 environment as a whole, further giving Amazon the ability to provide competitive pricing for its services. The resources in the EC2 environment can be consumed according to the following pricing models:

• On-Demand Instances
• Reserved Instances
• Spot Instances
• Dedicated Instances
• Dedicated Hosts