Which pricing model allows customers to reserve capacity for applications that require a stable environment?

The Reserved Instances pricing model is designed explicitly for customers who need to reserve capacity for their applications in a stable environment. This model allows users to commit to using a specified instance type in a specific region for a one or three-year term in exchange for a significant discount compared to On-Demand pricing. It is particularly advantageous for applications with steady-state usage where predictable capacity planning is essential. By reserving instances, customers can ensure that the necessary resources are available when needed, which is critical for applications that cannot tolerate interruptions or fluctuations in performance.

Additionally, users can choose between several payment options with Reserved Instances, such as all upfront, partial upfront, and no upfront payments, providing further flexibility in financial planning and resource allocation. Therefore, this model best suits enterprises or applications with consistent, predictable workloads requiring long-term stability.