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Cost Optimisation

AWS Spot Instances: Best Practices to Save 70% Without Interruption Risk

📅 January 2026⏱️ 9 min read✍️ TCOIQ Team

Spot: The Biggest Cloud Discount

AWS Spot Instances use spare capacity at 60-90% discount. Instances can be reclaimed with 2-minute notice. Design for interruption.

Spot Pricing

InstanceOn-Demand/hrSpot/hrSaving
m7i.2xlarge$0.4032$0.141165%
c7i.4xlarge$0.7144$0.250165%
g5.xlarge GPU$1.0060$0.301870%

Best Workloads for Spot

  • Batch processing and ETL jobs
  • CI/CD build agents
  • ML training with checkpointing
  • Rendering and video processing

Spot Fleet Strategy

Use 6-10 instance types across 2-3 AZs. When one type is reclaimed, others absorb the load. Extremely low effective interruption probability with a diversified fleet.

Interruption Handling

2 minutes before reclamation: checkpoint state, drain connections, gracefully terminate. For Kubernetes: use aws-node-termination-handler to cordon and drain Spot nodes automatically.

Annual Savings — 50 Instances

ModelAnnual
On-Demand$177,082
Spot 65% off$61,979
Saving$115,103
Any team running batch jobs, CI/CD, or ML training should use Spot. Savings are immediate and substantial with no architecture changes for suitable workloads.

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