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What are Spot Instances and On-Demand Instances?

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When AWS creates EC2 instances, there are some blocks of computing capacity and processing power left unused. AWS releases these blocks as Spot Instances. Spot Instances run whenever capacity is available. These are a good option if you are flexible about when your applications can run and if your applications can be interrupted.

On the other hand, On-Demand Instances can be created as and when needed. The prices of such instances are static. Such instances will always be available unless you explicitly terminate them.

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