Live data from Hacker News

Effectively using AWS Reserved Instances

stripe.com

31–40 of 123 posts

Re: Effectively using AWS Reserved Instances

#31

Earlier quoted context omitted.

Netflix runs a third of internet traffic off of their OpenConnect CDN appliances, not AWS (Netflix.com and other control plane-ish functions aside). Once you’re spending a few million dollars a year on cloud (arguably even less in some cases), it behooves you to explore hosting yourself. Cloud provider margins are substantial for a reason.

If you're truly spending "a few million dollars"/year, then MAYBE. 200k/month would get you there. My personal breakpoints are 50k/mo PaaS->EC2/IaaS and then something like 100k or 150k start thinking about physical. Maybe. By the time you hire everyone, get all the planning right, etc. you might be there need-wise, but it's not a sure thing.

Why not just rent dedicated bare metal from a large provider?

Re: Effectively using AWS Reserved Instances

#32
post #17
post #7

I thought that payment processors are using their own hardware. How is AWS protecting their own customers' privacy? - can uncle Bob insert his fancy flash drive, copy my data, and sell it? Before you say it is encrypted - where does the encryption happen and doesn't AWS employees have access to the keys too?

What are you talking about? I have so many questions - who is uncle Bob in this scenario, an AWS employee? Who's uncle is he and why is that important? And what makes his flash drive fancy? AWS has several encryption products you can easily look up, such as KMS. No, the employees don't have the keys. [1] [1] https://aws.amazon.com/kms/faqs/

Uncle Bob is AWS employee.

How is the application residing on AWS decrypt private data if it does not have access to the master(private) key?

Re: Effectively using AWS Reserved Instances

#33
post #13
post #7

I thought that payment processors are using their own hardware. How is AWS protecting their own customers' privacy? - can uncle Bob insert his fancy flash drive, copy my data, and sell it? Before you say it is encrypted - where does the encryption happen and doesn't AWS employees have access to the keys too?

AWS has different options for different companies/data. They even have options for US government data that are certified by DSS I believe, and they have options if you need PCI, HIPAA, and other types of compliance. See: https://aws.amazon.com/compliance/hipaa-compliance/ https://aws.amazon.com/compliance/pci-dss-level-1-faqs/

Thanks for the links. Good read.

Re: Effectively using AWS Reserved Instances

#34
post #7

I thought that payment processors are using their own hardware. How is AWS protecting their own customers' privacy? - can uncle Bob insert his fancy flash drive, copy my data, and sell it? Before you say it is encrypted - where does the encryption happen and doesn't AWS employees have access to the keys too?

I'd expect and hope that a Hardware Security Module is in the chain of trust somewhere. For certain cases you just don't want a key to ever be physically accessible except in one heavily-defended location.

Re: Effectively using AWS Reserved Instances

#35

> To automate this, we built an ETL process in SQL and Python that detects when we fall outside this band and automatically prepares a purchase for us to approve. @Stripe: Will this (or parts of it) be open sourced?

You can see a complete example in the accompanying Gist for this article: https://gist.github.com/lopopolo-stripe/e00b4bfa0839c125ed7a...

Thanks to you and sibling post, the Gist was missing when reading in Pocket.

Re: Effectively using AWS Reserved Instances

#36
post #5

Despite being a strong advocate for AWS, this is where I will say Google completely outshines Amazon. Google's approach to pricing is, "do it as efficiently and quickly as possible, and we'll make sure that's the cheapest option". AWS's approach is more, "help us do capacity planning and we'll let you get a price break for it.". Google applies bulk discounts after the fact, AWS makes you ask for them ahead of time.

I wonder if this contributes to amazon's ability to have better capacity planning. I've had issues with available quota from google in the past, and haven't had the same experience with amazon.

Re: Effectively using AWS Reserved Instances

#37
post #21
post #10

Earlier quoted context omitted.

How exactly does that solve the problem? Don't you have to do the same capacity planning to decide how many servers to buy for your datacenter? Except you get less flexibility because you can't buy servers and have them instantly available like you can for reserved instances? Also, what kind of workloads are you running that don't require databases? The biggest expense in any distributed system is moving data. If you…

Right, you have to do the same capacity planning, but you are getting the massive upside involved in that work instead of Amazon. >What you might save in not paying AWS's profit margin you will probably spend in not being able to be as efficient as they are. This isn't how I've seen the numbers work out for the huge chunk of workloads that require mostly static instances (a.k.a haven't been modernized into a serverle…

Are you factoring in the cost of the people to deploy and maintain that infrastructure?

Re: Effectively using AWS Reserved Instances

#38
post #8
post #5

Despite being a strong advocate for AWS, this is where I will say Google completely outshines Amazon. Google's approach to pricing is, "do it as efficiently and quickly as possible, and we'll make sure that's the cheapest option". AWS's approach is more, "help us do capacity planning and we'll let you get a price break for it.". Google applies bulk discounts after the fact, AWS makes you ask for them ahead of time.

Using GCC still feels like comparing an early android to a modern iOS. I guess they have to sell it cheap when the features and quality is not there.

[citation needed]

Re: Effectively using AWS Reserved Instances

#39
post #18
post #5

Despite being a strong advocate for AWS, this is where I will say Google completely outshines Amazon. Google's approach to pricing is, "do it as efficiently and quickly as possible, and we'll make sure that's the cheapest option". AWS's approach is more, "help us do capacity planning and we'll let you get a price break for it.". Google applies bulk discounts after the fact, AWS makes you ask for them ahead of time.

To be fair, AWS gives you bigger discounts for RI than GCP's sustained use. That makes sense; someone gotta pay for the risk. This said, GCPs committed use discounts still seem to be a better deal than convertible RIs. Looking at the run-of-the-mill 64GB RAM standard instance: AWS 1yr all upfront: $0.458 GCP commited use: $0.47878 AWS 1yr no upfront: $0.491 GCP sustained use: $0.532 AWS 1yr no upfront convertible: $0…

The customer takes all the risk. Reserving instances is a bad deal, that should be assimilated to gambling.

Re: Effectively using AWS Reserved Instances

#40
post #5

Despite being a strong advocate for AWS, this is where I will say Google completely outshines Amazon. Google's approach to pricing is, "do it as efficiently and quickly as possible, and we'll make sure that's the cheapest option". AWS's approach is more, "help us do capacity planning and we'll let you get a price break for it.". Google applies bulk discounts after the fact, AWS makes you ask for them ahead of time.

I have to think AWS will get there eventually. But maybe not. Either way, there is way more $$$ consulting for AWS than for GCP because of the expertise required to optimize costs.

I agree that there is more dollars to be made on consulting, however there is little money to be saved by the client. It's all about promising cost savings while pocketing the difference and some more.
Post reply on HN