Spot vs On-Demand

Spot vs. On-Demand Servers: Choosing the Right Node Type

Rackspace Spot offers two distinct types of worker nodes for your Kubernetes Cloudspace: Spot and On-Demand. Understanding their differences is key to optimizing both cost and reliability for your applications. Both Spot and On-Demand utilize the same Server Classes the difference is how the server pools are managed.

At a Glance Comparison

FeatureSpot InstancesOn-Demand Instances
PricingDynamic (Market Auction)Fixed (Monthly Rate)
Cost SavingsSignificant (Up to 90%)Predictable Costs
AvailabilityUses Spare CapacityGuaranteed Resources
Pre-emptionPossible (if market price > bid)None
StabilityPotential interruptions if bid falls under market pricesStable, guaranteed
Ideal ForFault-tolerant, stateless, flexible workloads, batch, CI/CDCritical databases, stateful apps

Spot Instances: Maximizing Cost Savings

Spot Instances leverage Rackspace's spare compute capacity, offered through a dynamic open market auction.

Benefits:

  • Major Cost Reduction: The primary driver for using Spot is the potential for dramatic cost savings compared to On-Demand pricing. This makes running large-scale or non-critical workloads much more affordable.
  • Access to Powerful Hardware: Obtain access to various compute, memory, or even GPU-optimized instances at significantly lower prices.

Key Consideration: Pre-emption

The trade-off for the low cost is pre-emption. Because Spot uses spare capacity, your instance can be terminated if:

  1. The current market price for that instance type rises above your maximum bid.
  2. The underlying capacity is needed elsewhere.

This means Spot Instances are best suited for applications designed to handle interruptions gracefully. (See Pre-emption Explained and Bidding Best Practices).

On-Demand Instances: Ensuring Stability and Predictability

On-Demand Instances are the traditional cloud server model.

Benefits:

  • Guaranteed Availability: You have dedicated access to the resources you pay for; they won't be pre-empted.
  • Predictable Billing: Costs are fixed on a monthly basis, making budgeting straightforward.
  • Maximum Stability: Ideal for workloads that cannot tolerate interruptions, such as primary databases, stateful applications, or critical core services.

Consideration:

  • Higher Cost: The guarantee of stability comes at a standard market price, which is significantly higher than potential Spot prices.

The Power of Hybrid Cloudspaces: Best of Both Worlds

One of the most powerful features of Rackspace Spot is the ability to mix Spot and On-Demand node pools within the same Cloudspace cluster. This allows you to tailor your infrastructure precisely to your application's needs, balancing cost savings with reliability.

Common Hybrid Strategies:

  • Core Services on On-Demand, Scalable Layers on Spot: Run essential components like databases, message queues, or critical backend APIs on stable On-Demand nodes. Use cost-effective Spot nodes for stateless frontends, worker pools, or batch processing that can scale horizontally and tolerate potential node loss.
  • Production on On-Demand, Dev/Test/Staging on Spot: Guarantee stability for production environments while drastically reducing costs for non-production environments.
  • Baseline on On-Demand, Bursting on Spot: Handle consistent load with On-Demand nodes, but use Spot nodes to handle temporary spikes in traffic or computation needs at a lower cost.

How to Choose

Consider the following for each component of your application:

  1. Tolerance for Interruption: Can this workload handle being stopped and potentially restarted on a different node? (If yes, consider Spot. If no, use On-Demand).
  2. Statefulness: Does it store critical data locally that is difficult to reconstruct? (If yes, consider On-Demand or ensure robust state management/replication if using Spot).
  3. Criticality: Is this component essential for the core functionality of your application? (If yes, On-Demand provides peace of mind).
  4. Cost Sensitivity: Is minimizing cost a primary goal for this specific workload? (If yes, Spot is attractive).

By strategically using Spot, On-Demand, or a hybrid approach, you can build robust, scalable, and cost-effective Kubernetes applications on Rackspace Spot.

Refer back to Create a Cloudspace Cluster or Adding Servers for details on adding Spot or On-Demand server pools.

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