Capacity Sharing for Shared AWS Instances: Best Practices and Guidance

Capacity Sharing for Shared AWS Instances

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Question

A start-up firm has purchased 5 numbers of c5.xlarge Instance for a period of 3 years for an upcoming project.

Due to the financial crisis, this project is on hold & the company is looking to share these instances to get some financial benefit.

The IT head is seeking your guidance for sharing these Reserved Instances.

Which of the following statements is correct with regards to Capacity sharing?

Answers

Explanations

Click on the arrows to vote for the correct answer

A. B. C. D.

Correct Answer - C.

Using Capacity reservation sharing, reserved instances can be shared with other accounts within an AWS Organisation or other AWS accounts.

Option A & B are incorrect as Capacity Reservations can be shared with both other AWS accounts and Accounts within AWS Organisation.

Option D is incorrect as Capacity Reservations can be shared with other AWS accounts as well.

For more information on Amazon EC2 Capacity sharing, refer to the following URL-

https://docs.aws.amazon.com/AWSEC2/latest/UserGuide/capacity-reservation-sharing.html

Reserved Instances (RIs) in AWS allow customers to reserve capacity for EC2 instances for a fixed term, providing a significant discount compared to On-Demand instances. Capacity sharing is a feature that allows AWS customers to share their RI capacity with other accounts within the same organization or with other AWS accounts.

In the scenario mentioned in the question, the start-up firm has purchased 5 c5.xlarge instances for a period of 3 years. However, due to a financial crisis, the project for which these instances were purchased is on hold. The IT head of the firm is seeking guidance on how to share these instances to get some financial benefit.

Answer: The correct statement with regards to Capacity sharing is C: Capacity reservations can be shared with other AWS accounts or within AWS Organisation.

Explanation: AWS allows RI owners to share their capacity with other accounts within the same AWS organization or with other AWS accounts. This feature is known as Capacity Sharing. Capacity sharing enables RI owners to monetize their unused or underutilized RI capacity by selling or loaning it to other AWS customers. This can help RI owners to reduce their costs and increase the ROI on their RIs.

Answer A is incorrect because capacity reservations can be shared not only with accounts within AWS Organization but also with other AWS accounts.

Answer B is incorrect because capacity reservations can be shared not only with other AWS accounts but also within AWS Organization.

Answer D is incorrect because capacity reservations can be shared outside individual accounts as long as they belong to the same AWS organization.

Therefore, the correct answer is C: Capacity reservations can be shared with other AWS accounts or within AWS Organisation.