Compute

EC2 vs Azure VMs vs Compute Engine — Cloud Compute Compared

Compare AWS EC2, Azure Virtual Machines, and GCP Compute Engine. Instance types, pricing models, and which to choose.

Feature Comparison

FeatureAmazon EC2Azure Virtual MachinesGoogle Compute Engine
Instance families700+ types400+ typesCustom + predefined
Automatic discountsNo (manual RI/SP)No (manual reservations)Yes (sustained use, up to 30%)
Custom sizingNo (fixed types)LimitedYes (custom machine types)
Spot savingsUp to 90%Up to 90%Up to 91%
Windows licensingIncluded or BYOLHybrid Benefit (40-80% off)Included or BYOL
Commitment flexibilitySavings Plans (flexible)Exchange/refund within termCUDs (less flexible)

Service Details

Amazon EC2

AWS

The original cloud compute service. Widest selection of instance types, most pricing options, and deepest ecosystem integration.

On-demand, Reserved Instances (1yr/3yr), Savings Plans, Spot Instances (up to 90% off). Per-second billing.
Strengths
  • Most instance types (700+)
  • Most mature spot market
  • Graviton processors for best price-performance
  • Widest regional availability
Limitations
  • RI/SP complexity requires active management
  • Pricing page is overwhelming
  • Instance selection paralysis

Azure Virtual Machines

Azure

Azure's IaaS compute with strong enterprise features. Hybrid Benefit for Windows/SQL licensing, reserved VM instances, and spot VMs.

On-demand (pay-as-you-go), Reserved VM Instances (1yr/3yr), Spot VMs, Dev/Test pricing. Per-second billing.
Strengths
  • Azure Hybrid Benefit saves 40-80% on Windows workloads
  • Strong enterprise licensing integration
  • Dev/Test pricing for non-production
  • Good hybrid with Azure Arc
Limitations
  • Fewer instance families than EC2
  • Spot market less mature than AWS
  • Regional availability gaps for some SKUs

Google Compute Engine

GCP

GCP's compute service with automatic sustained use discounts, custom machine types, and per-second billing from the start.

On-demand, Committed Use Discounts (1yr/3yr), Spot VMs, automatic sustained use discounts (up to 30% auto-applied).
Strengths
  • Automatic sustained use discounts (no commitment needed)
  • Custom machine types (exact CPU/RAM you need)
  • Live migration during maintenance
  • Simpler pricing than EC2
Limitations
  • Smaller instance selection than EC2
  • Less regional coverage
  • CUDs less flexible than AWS Savings Plans

When to Use Which

Choose EC2 for the widest instance selection and most mature spot market. Choose Azure VMs for Windows workloads with Hybrid Benefit. Choose Compute Engine for automatic discounts and custom machine types that eliminate over-provisioning.

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