What Are Azure Instances?

Mike Austin explains Azure instances, which are virtual machines on Microsoft's cloud platform. The video compares three payment models: pay-as-you-go for flexibility, reserved instances for 1- or 3-year commitments with big discounts, and Spot VMs for temporary workloads at the lowest cost.
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Hey, thanks for clicking this video. If you clicked I bet you're looking for a little more information on Azure instances. If so, you're in the right place. Because in this video we're going to talk about what Azure is, what are Azure instances, and which Azure instance is best for your business. So without further ado, let's roll that int. Number one, what is Azure? To first understand the Azure instance, we must first understand Azure. So what is Azure? No matter how you pronounce it, Azure is Microsoft's cloud computing platform. You may have heard or even used some of its competitors like Amazon Web Service, AWS or Google Cloud Platform. However, in this video, we're going to be talking about Bill's baby, and that's Azure. With cloud computing, your company no longer has to host its own infrastructure. Say goodbye to updating servers and hardware every so often, because now virtual computing, data storage, analytics, networking can all be satisfied in the cloud. There's virtually an infinite amount of ways you can leverage Azure to power up your business. However, it all comes back to one key component in the cloud, and that's the instance. Let's take a look at it. What is an Azure instance? Simply put, an Azure instance is a singular virtual machine VM for short. A VM is kind of like a physical computer. It's got RAM for memory, it's got processors which are often referred to as VCPUs or virtual CPUs for short, and it's oftentimes loaded up with some operating system to provide function for the machine and functionality for the user. Another way to look at the Azure instance is like a jet airplane. The fuselage is the app that you want to get up in the air. The jet engines are the instances powering it to get out there and off the Runway. If you've got a heavy aircraft or a big app that you need to get working, you're gonna need a couple more instances to do your bidding. Whereas with a heavy aircraft, you're gonna need to slap a couple jet engines on that guy to get the show on the road. But wait, before you go out there and start buying up the biggest, baddest and beefiest Azure instances on the market, you must first understand that there are three types of instance and the pros and cons of each of them so that you can make a budget friendly decision for your cloud computing needs in the future, let's take a look at them. In the world of Azure cloud, there are three types of instances. Number one, reserved instance, or RIS for short. Number two, spot instance, also referred to as spot VMs and number three, which is the classic plain Jane Pay as you go instance, which is basically like Amazon's on demand instance, which is over on their cloud. However, with Azure the name gets derived from the payment model which they fall under and that kind of results in way less cooler names and sometimes it can get complicated as well. But that's okay because we're about to clear them up. So let's start off with the Plain Jan pay as you go instance. This is basically Azure's default option in the instance game. Pay as you go is a pricing option offered for those who want to pay for what they use and have the flexibility to start, stop, add or change any instance with no limitation. And that means you're going to be paying for compute capacity by the second. The pros of pay as you go are as the pay as you go pricing scheme has no long term commitment upfront payments and you can increase or decrease compute capacity on demand. Pay as you go is good for applications with unpredictable workloads that cannot be interrupted and there's no lock in. Now let's take a look at the cons. The cons of the pay as you go instance include they can become very expensive, there's a risk of being overcharged, there's no discounts available, and be aware of the poor refund policy. Next on the docket is the reserved instance, also known as ri. This next one is basically Azure's key instance in the instance world. A reserved instance means that you're committing to buying virtual machine capacity in Azure's cloud for one or three years in the future. Now let's take a look at some pros of the reserved instance. Now why would you want to lock in for that length of time? Well, the big benefit is the cost savings. By putting so much skin in the Azure game, it's going to reward you with. Well, we typically see around 60 to 80% of your Azure expenses saved compared to the pricier pay as you go option. Another pro of the RI includes you can cancel or alter your reserves at any time using a one time upfront payment. If you have an ea, you may already have some Azure monetary commit funds to throw towards some RIs. They're refundable and exchangeable, and reserved instances are great for applications and workloads with steady predictable usage patterns. Now let's take a look at the cons. The main downside to the RI is if you start needing more scalability, anything outside of your originally set scope, you'll be forced to switch to the pay as you go model, which will end up being more costly, so make sure you know what you need and what you don't spot VMs are the same as regular VMs, but with no Service level agreement or SLA for short. To conceptualize the Spot vm, let's think of a parking lot. You see, Azure owns that parking lot, but you know, it gets a little slow on the weekend, so Azure decides to rent it out for you at a significantly discounted price. However, at any time when those weekends get busy for some reason, Azure has the right to boot you out and give it back to its more higher paying customers. The pros of the Spot VM include you can purchase compute capacity at a much cheaper rate. We typically see you can snag a 50% savings on a Windows Server workload and even 80% savings on a Linux server workload, both compared to pay as you go prices. They're good for a workload that can tolerate interruptions, or workloads that just need a temporary boost in compute power. Now let's take a look at the cons of the Spot vm. Workloads can be evicted at any time in progress. Code be lost if not set right. Spot pricing isn't available for all types of VMs. Suppressed core VMs, promo VMs, or burstable VMs are not available with Spot pricing. If you're looking for cost optimization, we have the tools available to help you leverage spot VMs and reserved instances to protect your IT budget. You can connect with us by clicking the link in the description below. After you click the link in the description below, you'll be met with this form here. Fill out that form and our experts will be with you in no time. Thanks for checking out our video on Azure instances and I'll see you next time.
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