In October 2018, Atrium purchased 13 subscriptions comprised of 75 convertible Reserved Instances on a 12-month term with no upfront payment in the following eu-west-1 at an approximate amortised cost of $15K per month.
Atrium lacked visibility into their Reserved Instance usage and coverage, amplified by a necessity to maximize utilisation and reduce overall cloud spend.
Atrium is a long-established, leading specialist insurance and reinsurance business, underwriting through Syndicate 609 at Lloyds. Atrium operates within the Lloyds market and has a history dating back to the 1930s.
As Atrium’s trusted technology partner, iSYSTEMS was called upon to help manage Atrium’s spiraling AWS costs. iSYSTEMS recommended Densify as their solution of choice. Partnering with Densify and iSYSTEMS, Atrium maximised their Reserved Instance investments with 95% utilization and complete portfolio visibility.
Densify’s machine learning technology accurately analysed Atrium’s existing Reserved Instance purchases, and created an actionable, multi-step optimisation process to help convert the existing Reserved Instances into an optimal set of Reserved Instances that precisely matched workload demands.
The analysis highlighted:
- The overall Reserved Instance utilisation was at 75%
- There was EC2 On-Demand usage available to take advantage of unused Reserved Instances
In May 2019, Densify provided 4 sets of exchange recommendations with a total true-up cost of only $350 dollars.
By following Densify’s recommendations, Atrium was able to maximize the value of their Reserved Instances purchases.
With the recommended exchanges, the following value was realised between May and September of 2019.
Increase of Reserved Instances Utilization from 75% to 95%
The blue vertical line in the preceding graph demarcates when Densify recommendations were adopted.
$31K in Savings over On-Demand with the Same RI Spend
iSYSTEMS' and Densify’s ongoing analysis and recommendations have become an integral part of Atrium’s future Cloud resourcing strategy.