Amazon SageMaker Pricing Explained: What You Need to Know

Introduction to Machine Learning with Amazon Sagemaker

Machine Learning, a subset of artificial intelligence enables systems to learn from data, identify patterns, and make decisions with minimal human intervention. Its applications range from everyday services like recommendation systems to complex decision-making processes in autonomous vehicles. Over the years, Machine learning has evolved significantly, with cloud platforms playing a pivotal role in this transformation.

Amazon SageMaker is a cloud service that simplifies the process of building, training, and deploying machine learning models. It is equipped with a host of tools and features designed to help users manage the lifecycle of their ML models efficiently.

---

What is AWS SageMaker

Amazon SageMaker is an end-to-end managed service that accelerates the machine learning lifecycle, enabling developers and data scientists to efficiently build, train, and deploy ML models. The platform enhances productivity by offering a user-friendly interface compatible with various integrated development environments. This integration eases the execution of ML workflows, allowing teams to focus more on innovation rather than infrastructure management.

Amazon SageMaker supports extensive data handling capabilities, which are vital for deploying managed ML algorithms that can handle vast amounts of data across distributed systems. The platform is also adaptable to various algorithms and frameworks, ensuring that users can customize their training processes and deploy models effortlessly into a secure and scalable environment.

---

Features of AWS SageMaker

Amazon SageMaker has introduced an array of features designed to optimize machine learning workflows and data analytics.

• SageMaker Canvas chat for data prep: Enhances data preparation by enabling users to construct data workflows with the assistance of large language models (LLMs).
• Deep learning containers for large model inference: SageMaker has updated its NCCL kernels with inference-optimized versions to boost GPU performance and offer superior execution speeds.
• SageMaker Distribution Images: A suite of Docker images tailored for machine learning and data analytics, accessible across various SageMaker platforms including Studio and GitHub.
• SageMaker HyperPod: Offers a resilient, always-on environment ideal for running extensive machine learning workloads, including those involving large language models.
• SageMaker Notebook Jobs: Supports scheduling and automation of notebook tasks through an SDK.
• SageMaker Pipelines: Converts local ML code into executable pipeline steps within SageMaker, streamlining workflow management.
• SageMaker Smart Sifting: Optimizes training datasets to enhance efficiency and reduce costs in model training.
• SageMaker Studio: Provides a new web-based interface that incorporates various IDEs to support diverse machine learning workflows.

---

How does AWS SageMaker Pricing work?

AWS SageMaker pricing is structured to provide flexibility and control over costs, making it accessible for different types of users ranging from developers experimenting with machine learning to large enterprises deploying scalable models. In AWS SageMaker, billing is based solely on your usage. You can choose between On-Demand Pricing, which comes without any initial fees or binding commitments, and Savings Plans, which offer lower prices in exchange for a guaranteed amount of regular usage.

Here’s a breakdown of the pricing factors you need to consider while using AWS SageMaker:

Amazon SageMaker Free Tier

Amazon SageMaker is accessible for free under the AWS Free Tier from the time you set up your first resource on the platform. This free trial is applicable from the first month and is designed to help newcomers get started with building, training, and deploying machine learning models without any upfront investment. The details of the free tier for Amazon SageMaker are as follows:

Amazon SageMaker capability	Free Tier usage per month for the first 2 months
Studio notebooks, and notebook instances	250 hours of ml.t3.medium instance on Studio notebooks OR 250 hours of ml.t2 medium instance or ml.t3.medium instance on notebook instances
RStudio on SageMaker	250 hours of ml.t3.medium instance on RSession app AND free ml.t3.medium instance for RStudioServerPro app
Data Wrangler	25 hours of ml.m5.4xlarge instance
Feature Store	10 million write units, 10 million read units, 25 GB storage (standard online store)
Training	50 hours of m4.xlarge or m5.xlarge instances
Amazon SageMaker with TensorBoard	300 hours of ml.r5.large instance
Real-Time Inference	125 hours of m4.xlarge or m5.xlarge instances
Serverless Inference	150,000 seconds of on-demand inference duration
Canvas	160 hours/month for session time
HyperPod	50 hours of m5.xlarge instance

On-Demand Pricing

SageMaker on-demand pricing is structured around the various components used within the platform which includes Notebook Instances, CodeEditor, RStudio etc. For on-demand instances, you are charged for the instance type you choose, based on the duration of use. The following table shows the pricing example of a few AWS SageMaker features:

SageMaker Feature	Standard Instances	vCPU	Memory	Price per Hour
Studio Classic	ml.t3.medium	2	4 GiB	$0.05
	ml.m5.2xlarge	8	32 GiB	$0.461
RStudio	ml.m5.16xlarge	64	256 GiB	$3.686
	ml.m5.24xlarge	96	384 GiB	$5.53
Code Editor	ml.m6id.large	2	8 GiB	$0.142
	ml.m6id.12xlarge	48	192 GiB	$3.417

Amazon SageMaker Savings Plans

The Amazon SageMaker Savings Plans provide substantial savings of up to 64% on machine learning instance costs. These plans are applicable across a variety of SageMaker services, including SageMaker Studio notebooks, notebook instances, Processing, Data Wrangler, Training, Real-Time Inference, and Batch Transform. The discount is applied automatically, regardless of the instance family, size, or geographical region. This flexibility allows you to adapt your workloads as needed without affecting your cost savings.

For example, you can switch from a CPU-based ml.c5.xlarge instance in the US East (Ohio) region to an ml.Inf1 instance in the US West (Oregon) region for inference tasks while still enjoying the lower pricing provided by the Savings Plans.

Total Cost of Ownership (TCO) with Amazon SageMaker

Amazon SageMaker provides a compelling value proposition with a total cost of ownership (TCO) that is at least 54% lower over a three-year period compared to other cloud-based, self-managed solutions. This significant cost advantage is derived from the comprehensive suite of tools and services offered by SageMaker, which streamline the machine learning lifecycle, reduce operational overhead, and eliminate the need for manual infrastructure management. Additionally, when combined with Amazon EC2, SageMaker enhances scalability and performance, offering a robust environment for machine learning workloads. For a detailed breakdown of your AWS costs, refer to our Amazon pricing calculator.

---

Best Practices to Optimize the Usage of AWS SageMaker

Optimizing the deployment and management of machine learning models on AWS SageMaker requires a thorough understanding of its hosting services and capabilities. Here are five best practices to consider for maximizing efficiency, scalability, and reliability and helps in AWS Cost Optimization:

Utilize SageMaker HTTPS Endpoints for Inference

To obtain inferences from deployed models, client applications can send requests to the SageMaker HTTPS endpoint. This method not only supports production environments but also facilitates testing from Jupyter notebooks. For custom deployment targets, understanding the algorithm-specific format of model artifacts generated during training is essential. This ensures compatibility and proper deployment. Refer to the “Common Data Formats for Training” section for detailed information on output formats.

Leverage Multi-Model Variants for A/B Testing

SageMaker allows the deployment of multiple model variants to a single HTTPS endpoint, enabling A/B testing and performance comparison in a production environment. By directing a fraction of the traffic (e.g., 5%) to a new model variant, organizations can test and validate its effectiveness before full deployment. This setup requires configuring an endpoint with multiple ProductionVariant entries, which can be specified in the CreateEndPointConfig request. This approach helps in iteratively improving model performance without affecting the overall system.

Implement Application Auto Scaling

To efficiently manage resources, SageMaker supports Application Auto Scaling for deployed models. This feature automatically adjusts the number of instances based on demand, optimizing cost and performance. Configuring auto scaling involves setting policies that define minimum and maximum instance counts. This flexibility ensures that your infrastructure can scale in response to varying workloads, providing both cost-efficiency and high availability.

Ensure Seamless Endpoint Updates

SageMaker allows for endpoint modifications without service interruptions. This capability is crucial for maintaining high availability while updating models, instance configurations, or traffic distribution. By providing a new endpoint configuration, changes can be implemented without downtime, ensuring continuous service delivery. It’s important to note that any modifications to model artifacts or inference code should be accompanied by a new endpoint configuration to avoid unpredictable results.

Design for High Availability and Fault Tolerance

To protect against Availability Zone outages and instance failures, deploy multiple instances across different Availability Zones. This distribution ensures that if an outage occurs, SageMaker can automatically manage failover and maintain service availability. For organizations using an Amazon Virtual Private Cloud, it is advisable to configure at least two subnets in different Availability Zones. Additionally, to achieve a high availability target of 99.95%, deploy at least two instances of each model variant and configure managed auto-scaling policies accordingly. This setup ensures redundancy and resilience, safeguarding against unexpected disruptions.

By following these best practices, organizations can effectively optimize their use of AWS SageMaker, ensuring efficient resource utilization, high availability, and robust performance.

---

Conclusion

By offering a comprehensive suite of features, including flexible deployment options, efficient data handling, and robust management capabilities, Amazon SageMaker empowers developers and data scientists to build, train, and deploy models with ease. The platform’s cost-effective pricing structure, particularly through Savings Plans, provides significant financial benefits, making it accessible to a wide range of users.

As organizations continue to embrace machine learning, Amazon SageMaker stands out as a powerful and versatile platform that can accommodate various workloads and scenarios. By adhering to the guidelines and best practices outlined in this article, IT professionals, developers, and business decision-makers can maximize the potential of their machine learning initiatives, driving innovation and achieving operational excellence in the cloud environment.

---

FAQs:

1. Is SageMaker free in AWS?

A. Amazon SageMaker is accessible for free for two months through the AWS Free Tier program. During this period, users can utilize up to 250 hours per month of ml.t3.medium notebook instances at no cost, beyond which standard SageMaker charges apply.

2. Do SageMaker domains cost money?

A. No. There are no charges for creating or configuring a SageMaker Studio domain, including the addition, update, or deletion of user profiles.

3. What is the benefit of SageMaker?

A. Amazon SageMaker simplifies the machine learning lifecycle by providing a fully managed platform for building, training, and deploying models. It enhances productivity with integrated tools and cost-effective pricing options.

4. What is Amazon SageMaker Studio Lab?

A. Amazon SageMaker Studio Lab is a free service providing a Jupyter-based integrated development environment for machine learning. It offers a collaborative workspace with preconfigured resources for model development and experimentation.

5. How are Savings Plans for SageMaker different from Compute Savings Plans for Amazon EC2?

A. The distinction between Savings Plans for SageMaker and those for Amazon EC2 lies in their service coverage. SageMaker Savings Plans are specifically applicable to SageMaker ML instance usage, whereas EC2 Savings Plans cover a broader range of EC2 services.

---

Need a Lift with Your Cloud Costs?

Are your cloud bills soaring high? Don’t let cloud costs weigh you down anymore. With Economize, you can effortlessly slash your cloud expenditures by up to 30%. Book a free demo with us today and discover how we can help you start saving in as little as 10 minutes.