- A
Standard Reserved Instances for each instance type with a 1-year term
Why wrong: Standard RIs lock to specific instance types. When r5 migrates to r6i, the r5 RIs continue billing but don't cover the r6i instances, creating waste.
- B
Compute Savings Plans with a 1-year term commitment
Compute Savings Plans apply automatically to any instance family including both r5 and r6i. The migration from r5 to r6i requires no Savings Plan changes. Up to 66% savings.
- C
EC2 Instance Savings Plans for the r5 instance family with a 1-year term
Why wrong: EC2 Instance Savings Plans lock to the r5 family. When the workload migrates to r6i, the Savings Plan no longer applies — r6i instances are charged at On-Demand rates.
- D
Convertible Reserved Instances for all instance types with a 1-year term
Why wrong: Convertible RIs support family exchanges but require manual exchange requests. Compute Savings Plans provide the same flexibility automatically — no action needed when instance families change.
Quick Answer
The answer is Compute Savings Plans with a 1-year term commitment because they provide the greatest savings while accommodating the planned instance family migration from r5 to r6i. Unlike EC2 Instance Savings Plans, which lock you to a specific instance family in a specific region, Compute Savings Plans automatically apply to any EC2 instance regardless of family, size, region, OS, or tenancy. This means when the data processing service migrates from r5 to r6i, the Compute Savings Plan continues to apply without any action required, whereas an EC2 Instance Savings Plan for r5 would leave the r6i workload billed at On-Demand rates. On the SAA-C03 exam, this scenario tests your understanding of the fundamental difference in flexibility between the two savings plan types, with a common trap being to choose EC2 Instance Savings Plans for their higher discount without considering the migration requirement. Remember the memory tip: “Compute covers all families; EC2 locks to one family.”
SAA-C03 Practice Question: Compute Savings Plans cover any EC2 instance…
This SAA-C03 practice question tests your understanding of design cost-optimized architectures. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. A key principle to apply: compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A company runs EC2 workloads including web servers (m5.large), batch jobs (c5.xlarge), and a data processing service that will migrate from r5 to r6i instances within 6 months. The company wants to commit to 1 year to reduce costs but needs flexibility for the planned instance family migration. Which purchasing option provides the GREATEST savings while accommodating the change?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Compute Savings Plans with a 1-year term commitment
Compute Savings Plans automatically apply to any EC2 instance regardless of family, size, region, OS, or tenancy — including both r5 and r6i. When the data processing service migrates from r5 to r6i, the Compute Savings Plan continues to apply without any action required. EC2 Instance Savings Plans lock to a specific instance family in a specific region. When the workload migrates from r5 to r6i, the EC2 Instance Savings Plan for r5 no longer applies — leaving the r6i workload billed at On-Demand rates.
Key principle: Compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Standard Reserved Instances for each instance type with a 1-year term
Why it's wrong here
Standard RIs lock to specific instance types. When r5 migrates to r6i, the r5 RIs continue billing but don't cover the r6i instances, creating waste.
- ✓
Compute Savings Plans with a 1-year term commitment
Why this is correct
Compute Savings Plans apply automatically to any instance family including both r5 and r6i. The migration from r5 to r6i requires no Savings Plan changes. Up to 66% savings.
Related concept
Compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate
- ✗
EC2 Instance Savings Plans for the r5 instance family with a 1-year term
Why it's wrong here
EC2 Instance Savings Plans lock to the r5 family. When the workload migrates to r6i, the Savings Plan no longer applies — r6i instances are charged at On-Demand rates.
- ✗
Convertible Reserved Instances for all instance types with a 1-year term
Why it's wrong here
Convertible RIs support family exchanges but require manual exchange requests. Compute Savings Plans provide the same flexibility automatically — no action needed when instance families change.
Common exam traps
Common exam trap: answer the scenario, not the keyword
EC2 Instance Savings Plans offer a deeper discount (up to 72%) but are locked to a specific instance family and region. Compute Savings Plans sacrifice ~2-5% discount compared to EC2 Instance Savings Plans but cover all families, sizes, regions, and Lambda/Fargate. When a family migration is planned, Compute Savings Plans are the correct choice — EC2 Instance Savings Plans would not cover the new r6i family.
Detailed technical explanation
How to think about this question
AWS cost commitment options: - On-Demand: No commitment, 0% savings - Compute Savings Plans: Commit to spend ($/hour), up to 66% off, any EC2 family/size/region + Lambda + Fargate - EC2 Instance Savings Plans: Commit to specific family in one region, up to 72% off - Standard RIs: Specific instance type/AZ, up to 72% off, least flexible - Convertible RIs: Can exchange for different family/OS/tenancy, up to 66% off - Spot: Up to 90% off, for fault-tolerant interruption-tolerant workloads Savings Plans apply automatically to matching usage. They apply after Reserved Instances, before On-Demand pricing. Unused commitment is wasted — size commitments based on baseline (not peak) usage.
KKey Concepts to Remember
- Compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate
- EC2 Instance Savings Plans lock to a specific instance family in one region
- When planning a family migration (r5 to r6i), Compute Savings Plans automatically cover both
- Standard Reserved Instances are the least flexible — locked to specific instance type and size
- Convertible RIs allow family exchanges but require manual exchange process
TExam Day Tips
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate
Real-world example
How this comes up in practice
A startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.
What to study next
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FAQ
Questions learners often ask
What does this SAA-C03 question test?
Design Cost-Optimized Architectures — This question tests Design Cost-Optimized Architectures — Compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate.
What is the correct answer to this question?
The correct answer is: Compute Savings Plans with a 1-year term commitment — Compute Savings Plans automatically apply to any EC2 instance regardless of family, size, region, OS, or tenancy — including both r5 and r6i. When the data processing service migrates from r5 to r6i, the Compute Savings Plan continues to apply without any action required. EC2 Instance Savings Plans lock to a specific instance family in a specific region. When the workload migrates from r5 to r6i, the EC2 Instance Savings Plan for r5 no longer applies — leaving the r6i workload billed at On-Demand rates.
What should I do if I get this SAA-C03 question wrong?
Review compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate, then practise related SAA-C03 questions on the same topic to reinforce the concept.
What is the key concept behind this question?
Compute Savings Plans cover any EC2 instance family, size, region, OS, tenancy, Lambda, and Fargate
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Last reviewed: May 17, 2026
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