Reservations

When making recommendations for reservations, the goal is to show the user that switching to a recommended reservation type can reduce their costs while maintaining their workload performance. vCPU/memory usage and capacity are considered and checked against thresholds (in Settings page) over 90 days to determine if the current instance type should be replaced by a Reserved and by which ones to reduce costs.

Hourly peak data is analyzed from the last 90 days for vCPU utilization which calculates the optimal capacity for the current configuration. Similarly, we find the optimal memory capacity based on the current instance’s usage trend. 

If a minimum of 10% (sampling factor)  of vCPU/memory utilization samples are above their minimum threshold (thresholds can be found in Settings page), then they are considered for recommendation. If the utilization is below the threshold, then they are better suited for idle instances and not reserved.

The calculation for 1 year reserved savings is: current ondemand price - 1 year reservation price.

The calculation for 3 year reserved savings is: current ondemand price  - (3-year price / 3).