AWS Solutions Architect Associate Practice Test

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Which type of Amazon EC2 instance should you use to efficiently handle a large backlog of video transcoding jobs?

Reserved instances for long-term commitments.
Spot instances for cost savings when demand is variable.
Dedicated instances for complete resource isolation.
On-demand instances for immediate scaling.

The correct answer is: Spot instances for cost savings when demand is variable.

Using Spot instances for handling a large backlog of video transcoding jobs is a smart choice because these instances allow you to take advantage of excess Amazon EC2 capacity at a significantly reduced cost compared to standard pricing. Spot instances are ideal for workloads that are flexible in terms of timing, which fits well with tasks like video transcoding that can be run at varying times based on available resources. This option enhances cost efficiency, allowing businesses to process a greater volume of jobs without incurring the expense associated with On-Demand or Reserved Instances. Spot instances can be interrupted when the capacity is no longer available, but if the transcoding tasks can tolerate interruptions, this trade-off is acceptable to maximize savings. In contrast, while On-Demand instances provide the advantage of immediate availability, they can become quite expensive as usage scales. Reserved instances require a long-term commitment, which might not be suitable if the demand for transcoding jobs is not constant. Dedicated instances are best used for cases where complete isolation is necessary, such as for compliance or regulatory requirements, making them an inefficient choice for general video transcoding tasks that require scalability and cost-effectiveness.