Another AWS Price Cut Looms; Better Get Used to Them Photo by Craig Murphy of Flickr. Licensed under Creative Commons.

Another AWS Price Cut Looms; Better Get Used to Them

As Amazon Web Services made the announcement regarding the launch of new high I/O I2 instances on EC2, the public cloud provider was also planning for a price cut on EC2's HI1 instances in select regions.

Cloud services price cuts are becoming a regular event, and channel players should get used to seeing them from the big public cloud providers, in particular, every few months. It may throw a wrench in the works of a channel partner's business plan and budgeting, but as has been shown over the last couple of years, it's not going away.

The reason I bring this up is Amazon Web Services (AWS) has just announced another price cut. According to the AWS blog, the public cloud giant has reduced the prices of its On Demand and Reserved instances for its EC2 HI1 instances in select regions. This price cut, announced on the blog Dec. 20, actually went into effect Dec. 1.

The regions included in this price cut include European Union (Ireland) and Asia Pacific (Tokyo). Both Linux and Windows instances in both of those regions have been reduced in price by 10 percent.

These kinds of price cuts have become expected at this point. And if you're not expecting them, you're probably not paying attention. Can we expect AWS's competitors to follow suit and cut prices in those regions, as well? Could be. And it wouldn't be a surprise in the least.

On the same day AWS announced the pricing change in those two regions, it also unveiled the availability of I2 instances on EC2, providing customers with high I/O instances that have been optimized with solid state disk storage technology. According to Amazon, the new I2 instances provide customers with more processing power, lower latency, low jitter and very high packet-per-second performance.

"Many of our customers are running storage-optimized Amazon EC2 HI1 instances today for applications that benefit from very high random I/O performance. Customers have told us that they not only wanted even more high I/O performance, but also wanted smaller instance size options for their smaller database fleets," said Matt Garman, vice president of Amazon EC2, in a prepared statement.

Customers can now launch I2 instances in a handful of regions, including U.S. East (North Virginia), U.S. West (Oregon), U.S. West (Northern California), European Union (Ireland), Asia Pacific (Singapore), Asia Pacific (Tokyo) and Asia Pacific (Sydney).

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