As we continue to dive into AWS Reserved Instances, today we want to take a look at the AWS Reserved Instance Marketplace.
Reserved Instances are a great way to save money – unless they don’t get used, and you won’t really know until you get the bill. But just because you’re locked into that contract doesn’t mean that your unused RIs have to be a total waste of money. AWS has given users a place to sell them – the Reserved Instance Marketplace.
Using the Reserved Instance Marketplace, you can list your reservation for other users to purchase. Of course, like any online marketplace, there’s no guarantee that you’ll actually sell them, but at least you have a shot at getting some of your money back.
AWS has some solid documentation for all the ins and outs of buying and selling in the Reserved Instance Marketplace, but we decided to highlight answers to some of the questions we most commonly see about how to get started with selling unused RIs. Read our FAQ below.
Selling on the Reserved Instance Marketplace
AWS customers and third-parties are free to use the marketplace to sell unused Standard RIs regardless of length terms or original pricing options.
When is it a good idea to sell unused RIs?
If you’re changing instance types (perhaps for rightsizing or better optimizing the instance type for its load or application), moving regions, your business needs have changed, your capacity needs have changed, or you just don’t need that instance type anymore – use the marketplace.
How do I become a seller?
To register as a seller, you’ll need to provide bank account and tax information. Once you’ve completed registration, you’ll receive a confirmation email.
Are there any restrictions or limitations to what I can sell?
- Once you’ve registered as a seller, you’re free to sell any EC2 Standard Reserved Instances as long as your term length has at least one month remaining.
- Convertible instances cannot be sold in the marketplace.
- You can sell Standard RIs regardless of the purchasing plan (No Upfront, Partial Upfront, or All Upfront), but in the case of All Upfront – you must have made the full payment before you can sell, and the reservation must be active for at least 30 days before listing. AWS also charges a 12% service fee for upfront pricing.
- Pricing is flexible – the minimum sale price is $0.00
- You can’t modify or change a listing once it’s been made, but you can cancel it and create a new one.
What information does AWS share with buyers?
According to US regulations, buyers will be able to see your legal name on the buyer’s statement. In the event that AWS Support is contacted regarding invoices or tax purposes, the buyer may receive your email address to be able to communicate with you directly, along with your ZIP code and country.
How does selling work?
Once you list the RIs you want to sell in the marketplace, buyers will be able to see them. Instances are grouped by remainder of term length and hourly rate. The cheapest reservations are sold first, followed by the next cheapest, and so on until the buyer’s order is fulfilled. AWS handles the transaction and transfer of ownership. The instances are yours until they’re sold, and once you make a sale, you’ll go back to paying the on-demand rate whenever you use that instance type moving forward.
How do I list my RIs in the marketplace?
There’s a few ways you can list your unused RIs in the AWS Reserved Instances Marketplace. You can sell them all at once, in parts, or by instance type, platform, and scope. You can also cancel your listing, but you won’t get anything back on any portions that have already been sold. There are also several routes you can take for where and how to list your RIs: using the AWS Management Console, using the AWS CLI or Amazon EC2 API, and from the Listing State of the My Listings tab of the Reserved Instances page.
How do I price my RIs in the marketplace?
When selling an RI, the only fee that you can decide on is the upfront fee – the one-time fee that the buyer is charged for purchasing your instance. Usage and recurring fees cannot be specified – the buyer will pay what was charged for the original purchase. The minimum sales price allowed is $0.00 and the maximum you can sell per year is $50,000 (although AWS can grant you permission to sell more on a case-by-case basis).
AWS also sets a default pricing schedule for your listed RIs. Pricing decreases incrementally over a month-to-month period to account for the value of the RI decreasing over time. What you can do, however, is set upfront prices based on the point of sale for your RI (a set price if it’s sold with 5 months remaining in the term, 3 months remaining, etc).
What happens after I make a sale?
You’ll get an email notification anytime an RI has sold, and each day there is any activity on your account, such as creating or selling a listing. Once the buyer pays AWS for your RIs, you’ll get a message to your email account about the sold reservation. AWS sends a wire transfer to the bank account provided, typically 1-3 days from the date of sale, but you won’t be able to receive funds until after AWS has verified the account with your bank, which can take up to 2 weeks. You can also see your sales in the Reserved Instance disbursement report, where you can check the status of everything you’ve listed. Or you can track the status of your RI listings in the console (Reserved Instance > My Listings > Listing State) for a full breakdown of available listings, pending, sold, and canceled.
Reserved Instances can save money on your AWS bill, but can just as easily waste money by going unused. Luckily, the AWS Reserved Instances Marketplace can help by giving you a place to sell your unused RIs. To optimize your existing RIs, be sure to check out our Reserved Instance management solution.
Did we miss any of your questions in this AWS Reserved Instances Marketplace FAQ? Let us know!