A fresh year, a fresh approach to optimisation withย Amazon Web Services!
As we enter 2026, building a solid, futureโproof infrastructure on AWS means more than just spinning up instances and hoping for the best. Itโs about aligning architecture, cost, operations and data strategy so that growth, innovation (especially AI/data) and sustainability can scale together.
Letโs dive deeper into these new insights!
Table of Contents
Smarter Cost Management & Continuous Rightsizing
Cost optimization continues to be the backbone of AWS success. The basics remain the same: regularly audit your AWS costs, identify idle or oversized resources, and right-size your workloads. Reserved Instances and Savings Plans still provide substantial savings for predictable workloads, while upgrading to newer-generation compute and storage delivers better performance at lower cost.
Tools like AWS Cost Explorer, Cost & Usage Reports (CUR), and the Billing and Cost Management dashboard give you a high-level view of your spending and usage patterns.
But in 2026, AWS has pushed cost visibility even further with improvements to:
- AWS Cost Optimization Hub โ a unified center that consolidates rightsizing recommendations, idle/unused-resource alerts, Savings Plans & RIs opportunities, and automated cost-reduction suggestions.
- New cross-account reporting improvements โ making it easier to understand costs in multi-account setups.
- Enhanced budgeting & anomaly detection โ alerting you faster when spend spikes occur.
These updates make the initial auditing process more efficient; however, many startups still find AWS-native tools overwhelming or unintuitive.
GenAI Becomes a First-Class cloud citizen
Generative AI has moved from โexperimentalโ to โcore,โ and AWS has doubled its investment here. Amazon Bedrock now supports deeper orchestration capabilities, expanded model choices, and improved guardrails for secure enterprise adoption. New Bedrock Agents also make it easier to automate tasks, build assistants, and connect models to real business data.
Why it matters: Startups can now ship AI-powered features without building custom ML infrastructure or managing complex model lifecycles.
Leverage Reserved Instances and Savings Plans
To save money, consider utilizing Reserved Instances (RIs) or Savings Plans (SPs) for instances with stable, predictable usage patterns. Both options allow companies to commit to AWS usage over a period in exchange for significant discounts.
RIs offer discounts of up to 72% compared to On-Demand pricing with a one or three-year commitment. They come in three types:
- Standard RIs provide the highest discount and are best for predictable usage patterns.
- Convertible RIs offer flexibility to adjust attributes like instance family, operating system, and tenancy.
- Scheduled RIs allow you to reserve capacity for specific time windows.
On the other hand, SPs require a commitment to a particular hourly spend over one or three years and offer comparable discounts to RIs.
- Compute SPs apply to all eligible AWS compute services, includingย EC2 Instances,ย AWS Lambda, and Fargate, providing flexibility across services.
- EC2 Instance SPs apply to specific EC2 instance families within a region.
- SageMaker SPs offer discounted rates for SageMaker workloads.
Upgrade Old-Generation Compute & Storage
AWS introduced major compute improvements in the past year, projected to deliver:
- Up toย 30% better performance
- Lower energy consumption
- Better support for data, analytics, and AI workloads
Upgrading older instances (T2, M3, R4, etc.) to the newest generations delivers more performance for the same or lower cost.
The same applies to storage โ migrating from older EBS volumes to gp3 or the latest SSD tiers yields meaningful savings.
Implement Instance Scheduling
Properly scheduling your instances ensures they run when needed, preventing unnecessary costs. Manually stopping and starting cases can lead to errors, so automation is key.
The Instance Scheduler allows you to set predefined schedules for EC2 and RDS resources. For example, if your team works from 9 AM to 5 PM GMT, you can schedule instances to run only during these hours, potentially saving up to 70% on costs.
If the Instance Scheduler seems complex, consider using the AWS Systems Manager Resource Scheduler, which controls resource running times.
Use Spot Instances & Spot Fleets for Maximum Savings
Spot Instances can reduce compute costs by up to 90%, and AWS has improved their stability and predictability in 2025โ2026. Spot Instances, which offer discounts of up to 90% compared to On-Demand pricing. However, Spot Instances can be terminated with only a two-minute warning if AWS requires the capacity, making them unreliable for mission-critical applications.
To mitigate this risk, AWS Spot Fleets allow you to:
- Mix spot and on-demand instances to maintain a target capacity.
- Automatically replace terminated cases to ensure continuity.
- Use diversified instance types and Availability Zones to minimize disruptions.
If 24/7 uptime is a priority for your business, consider combining Spot Instances with Reserved Instances or Savings Plans for a cost-effective and reliable setup.
Embrace Serverless for Efficiency & Scale
AWS CTO Werner Vogels says: โNo server is easier to manage than no server.โ He highlights why serverless architectures are becoming the default choice for cost-conscious, scalable cloud solutions.
Rather than managing EC2, RDS, or container-based infrastructure, serverless computing lets you focus purely on business logic without worrying about provisioning or maintenance. The benefits? Reduced operational overhead, automatic scaling, and significant cost savings!
Thinking about going serverless? Here are some key AWS Serverless Services in 2025:
- AWS Lambdaย โ Execute code in response to events without managing servers.
- AWS Fargate โ Run containers without provisioning or managing EC2 instances.
- Amazon Auroraย Serverless v2 โ Scale relational databases automatically.
- Amazon DynamoDB โ NoSQL database with automatic scaling and pay-per-use pricing.
- Amazon SQS & SNS โ Asynchronous messaging for decoupled architectures.
Final Takeaways
AWS evolves quickly โ new features, new compute generations, improved AI tooling, and more integrated data services all change what โbestโ looks like each year. Teams that succeed in 2026 will embrace continuous optimization: reviewing architecture regularly, keeping costs under control, and adopting new AWS capabilities when they create real operational value.
