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Cloud Computing · Foundational

Cost Optimization Pillar

Well-architected pillar focused on delivering business value at the lowest price point by avoiding unnecessary costs.

Definition

Cost optimization principles include implementing cloud financial management, adopting a consumption model, measuring overall efficiency, stopping spending on undifferentiated heavy lifting and analyzing and attributing expenditure. Practices include rightsizing, commitments, Spot capacity, storage tiering and turning off idle resources.

Example

Scheduling development environments to stop outside business hours cuts their cost by about 65 percent.

Exam tip

Cost optimization is about value, not just lowest price; tags and attribution are part of it.

Related terms