‫So, let's talk about Consolidated Billing
‫for AWS Organization.
‫So, when you enable this setting,
‫this provides you two things.
‫Number one, and I'll describe it in a second.
‫It gives you the combined usage,
‫that means that you can combine all the usage
‫of all accounts together to do two things.
‫Number one, you're going to share the volume pricing.
‫For example, in Amazon history,
‫if you go over maybe five terabytes of data,
‫then the next service is going to be cheaper.
‫Well, obviously if you combine
‫all your accounts together,
‫if every account is using one terabyte of data
‫and you have six accounts,
‫then altogether they will be benefiting
‫from the discount pricing.
‫So, the combined usage is very important,
‫and also,
‫there are some Reserved Instances
‫or Savings Plan discounts on one account.
‫They can be shared across all accounts
‫again to maximize the discounts
‫and the savings,
‫and I will show you how in a second.
‫The other advantage that it gives you,
‫One Bill.
‫So, get one bill for all the accounts
‫in the organization,
‫which really can help
‫your accounting departments
‫and allow you not to be restricted
‫in how many accounts you can create for AWS.
‫So, let's take an example of
‫Reserved Instance Sharing.
‫So we have an organization with two accounts
‫and in the first one, account A,
‫there is no Reserved Instances,
‫and account B,
‫there are five reserved EC2 instances.
‫Now, let's assume that we are within one AZ
‫because Reserve Instances are at the AZ level
‫and we have nine EC2 instances.
‫As you can see,
‫three are launched in account B,
‫and six are launched in account A.
‫Now, what is going to happen?
‫Well,
‫if we have five EC2 Reserved Instances on account B,
‫then the three EC2 instances
‫obviously are going to be reserved,
‫but because we have enabled Reserved Instances sharing,
‫then two instances in account A
‫will also benefit from Reserved Instances pricing
‫and therefore rebuking cost savings.
‫So, at the end of the day,
‫we have five Reserved Instances
‫and four not Reserved Instances in this use case
‫even though Susan in account B
‫only launched three EC2 instances
‫out of the five that were reserved.
‫Okay?
‫So, you really need to understand this
‫because the exam will test you on the shared volume pricing,
‫so shared volume discounts
‫and how to share and what it means
‫to share Reserved Instances,
‫and finally, the Reserved Instances discount sharing
‫can be turned off for any accounts in the organization,
‫including the management accounts,
‫the main accounts of your organization.
‫Okay.
‫That's it for this lecture.
‫I hope you liked it,
‫and I will see you in the next lecture.