Navigating the complexities of cloud expenses is a pivotal aspect of effective cloud management. AWS Cost Explorer stands out as a powerful tool in the AWS ecosystem, offering users the ability to gain deep insights into their spending patterns and identify opportunities for optimization. In this post, we’ll explore the question on everyone’s mind: How much costs can you save using AWS Cost Explorer?
Understanding AWS Cost Explorer
AWS Cost Explorer is a robust service designed to provide a detailed analysis of your AWS usage and costs. By leveraging customizable reports, visualizations, and forecasting tools, it empowers users to make informed decisions about their cloud expenditures.
Activate Cost Explorer for your account by following the steps outlined in the Billing and Cost Management console.
Please note that enabling Cost Explorer via the API is not an available option. Once activated, AWS initiates the compilation of cost data for the current month and the preceding 12 months. Additionally, a forecast for the upcoming 12 months is calculated. The data for the current month becomes accessible within approximately 24 hours, while the remainder may take a few days longer. Cost Explorer ensures that your cost information is updated at least once every 24 hours.
The Cost Explorer API provides the following endpoint:
To learn more about the AWS Cost Explorer API, read the next post: Navigating AWS Cost Explorer API for Effective Cost Management [check list]
AWS Cost Explorer Use Cases
Here are four uses cases how we can understand the capability of the AWS Cost Explorer:
Develop Custom Applications
Harness the power of AWS Cost Explorer’s interactive analytics engine by building custom applications. With direct access through the Cost Explorer API, you can programmatically query your cost and usage data, providing flexibility and customization for your specific needs.
Utilize Granular Filtering
Gain a comprehensive understanding of your AWS costs and usage by leveraging granular filtering options. Visualize, analyse, and manage your data with daily or monthly granularity. For even more detailed insights, enable hourly and resource-level granularity to tailor your analysis to specific requirements.
Predict Your Costs
Take control of your budgeting and cost management by creating forecasts using AWS Cost Explorer. Choose a future time range for your report to generate accurate estimates of your AWS bill. Set alarms and budgets based on these predictions to proactively manage and optimize your expenses.
Comprehend Cost and Usage Patterns
Uncover insights into your AWS cost and usage patterns with day-over-day, month-over-month, or year-over-year analysis. Utilize graphs and tables to visually track your costs against a timeline, identifying variances and trends. AWS Cost Explorer empowers you to understand the nuances of your spending and usage, facilitating strategic decision-making.
Key Features for Cost Savings
1. Granular Cost Visibility
AWS Cost Explorer breaks down your spending into detailed categories, offering a granular view of where your money is going. This visibility allows you to identify areas where cost optimization efforts can yield the most significant results.
2. Customizable Reports
Tailor-made reports allow you to drill down into specific time frames, services, or usage types. This level of customization enables you to pinpoint cost anomalies, track trends, and make data-driven decisions to optimize your cloud spending.
3. Forecasting Tools
Predicting future costs is made easier with AWS Cost Explorer’s forecasting tools. By analysing historical data, you can anticipate upcoming expenses, enabling proactive measures to control costs and prevent budget overruns.
4. Rightsizing Recommendations
One of the standout features is the ability to receive rightsizing recommendations. AWS Cost Explorer analyses your usage patterns and suggests adjustments to instance sizes, helping you match resources to your actual needs and avoid overprovisioning.
Calculating Savings
1. Identifying Unused Resources
AWS Cost Explorer helps identify idle and unused resources. By eliminating or downsizing these resources, you can make immediate savings and ensure that you’re only paying for what you actively use.
2. Optimizing Reserved Instances
With insights from AWS Cost Explorer, users can optimize their Reserved Instances strategy. Identifying the right balance between On-Demand and Reserved Instances can lead to substantial cost savings over time.
3. Strategic Savings Plans Utilization
Users can leverage AWS Cost Explorer to analyse their usage patterns and determine the most suitable Savings Plans. This strategic approach ensures maximum savings while accommodating the dynamic nature of workloads.
Conclusion
In conclusion, the amount of costs you can save using AWS Cost Explorer is directly proportional to your commitment to leveraging its features effectively. By regularly monitoring your spending, customizing reports, and implementing recommendations, you can unlock significant savings in your AWS bills. AWS Cost Explorer isn’t just a tool; it’s a key ally in your journey towards optimized cloud economics, empowering you to make informed decisions and maximize the value of your AWS investment.
