Amazon servers, starting at 10 cents an hour

Amazon.com announced on Thursday a service to provide computing power on demand over the Internet.

This hosted service, called Amazon Elastic Compute Cloud (EC2), is in limited beta testing and is aimed at software developers writing Web applications.

The service is offered to developers, who can tap into the server-processing service to quickly meet their application's changing needs. Rates start at 10 cents per "instance-hour" consumed--a dime for the use of a guaranteed minimum amount of computer capacity running particular server software.

This utility computing service works with Amazon Simple Storage Service (S3), which Amazon introduced earlier this year.

"Amazon EC2 reduces the time required to obtain and boot new server instances to minutes, allowing you to quickly scale capacity, both up and down, as your computing requirements change. Amazon EC2 changes the economics of computing by allowing you to pay only for capacity that you actually use," Amazon Web Services said Thursday on its Web site.

The Amazon Web Services division of the retail and technology company is a big proponent of the idea of building Web applications on top of hosted services. It has rolled out a number of services--available via XML-based application programming interfaces (APIs)--that essentially constitute a development environment for Web developers.

In addition to its storage and server lineup, Amazon Web Services has introduced services for messaging, search and e-commerce.

With Amazon EC2, developers set up or choose an Amazon Machine Image, which contains the software needed to boot up an instance of a server. Writing to the published APIs, developers can automate the process of adding and subtracting more server capacity as traffic to their Web applications changes.

Each instance provides the equivalent processing power of a 1.7-gigahertz Xeon server with 1.75 gigabytes of memory, 160 gigabytes of disk storage and 250 megabits per second of network bandwidth.

In addition to the 10 cents per instance hour per server, users pay for bandwidth traffic and storage at hourly rates.

Sun Microsystems earlier this year launched its Sun Grid, a service that lets people purchase computing power at $1 per processor per hour.

Other large outsourcing companies, including IBM and Hewlett-Packard, have sought to offer usage pricing for hosted processing power.

More from News.com on this story's topics

Web services

Create an email alert | RSS feed

Hardware servers

Create an email alert | RSS feed

Programming

Create an email alert | RSS feed

Utility computing

Create an email alert | RSS feed

Amazon.com

Create an email alert | RSS feed

See more CNET content tagged:
Amazon.com Inc., Web service, Web application, computing, API

Add a Comment (Log in or register) 2 comments (Page 1 of 1)
Great idea
by danny_f August 25, 2006 4:01 AM PDT
I think I'm going to divert a little from the usual talkback themes a bit (it not blind critisism). This is a very good idea, and amazon have very decent prices.

Being able to instantly scale your processing speed, bandwidth and memory is a god send for high usage sites that go through irratic usage peaks.
Reply to this comment
Wow.
by TV James May 4, 2008 6:31 PM PDT
They need someone in branding to help them. That name is as cluttered as the pages on amazon.com.
Reply to this comment
Powered by Jive Software
advertisement
RSS Feeds
Add headlines from CNET News.com to your homepage or feedreader.
Google
Yahoo
MSN
More feeds available in our RSS feed index.

Latest tech news headlines

Most Popular Stories
Google's search secret: It gets rid of you
Developer creates copy-paste tech for iPhone
Will Wright on the origins of 'Spore'
Palm Treo Pro: Not digging it
American Airlines launches in-flight Wi-Fi
Resource center from News.com sponsors
Aligning CIO & CEO visions
What CIOs need to know

It's a simple truth. The closer you and your CEO see things, the greater your chance for success. Our exclusive report can help you get there—and help your business grow. To get the report, featuring the views of 765 CEOs on innovation. click here

Click Here!
What CEOs think: Innovation Insights for CIOs

Learn How CIOs can deliver strategic success for their enterprises

The New CIO: Beyond Technology

Learn how CIOs become heroes

Podcast: Chris Gorog of Napster

Learn about the impact of technology in strategy execution

The future of the Enterprise

Read more about tomorrow's organization

Markets

Market news, charts, SEC filings, and more

Related quotes

Amazon.com (1.38%) 1.13 83.26
Dow Jones Industrials (0.11%) 12.78 11,430.21
S&P 500 (0.25%) 3.18 1,277.72
NASDAQ (0.00%) 0.00 1,816.15
CNET TECH (-0.11%) -1.71 1,629.09
  Symbol Lookup
advertisement
On GameSpot: Our first look at the new Wolfenstein!
Advanced
search
Advanced
search
Visit other CBS Interactive sites