Redshift Reserved Capacity Optimization

Opportunity Name: Redshift Reserved Capacity

AWS Resource Type: Amazon Redshift

Opportunity Description:
This Finder identifies Amazon Redshift clusters where customers can benefit from Reserved Node (RN) purchases instead of relying solely on on-demand pricing. Reserved Nodes offer significant discounts over time for stable, long-running Redshift workloads.

CloudFix analyzes Redshift usage patterns to identify clusters that are suitable for 1-year or 3-year Reserved Node commitments—helping customers lower compute costs while maintaining full performance and availability.

Criteria for identifying the opportunity:

• Redshift cluster has maintained a stable configuration and usage pattern over 30+ days.
• Cluster is provisioned using on-demand pricing.
• The workload is suitable for reservation based on long-term consistency (low variability in node count or usage).
• Recommendations consider commitment duration (1-year or 3-year) and payment option (All Upfront, Partial Upfront, No Upfront).

Potential Savings (range in % on annual basis):
Redshift Reserved Node pricing can offer savings of up to 75% compared to on-demand rates. Typical customer savings range between 30%–60%, depending on commitment and payment type.

What happens when the Fixer is executed?
This Finder does not include an automatic Fixer.
Reserved Node purchases must be made manually through:

1. AWS Management Console
2. AWS CLI
3. AWS API

CloudFix provides:

• Recommendations for node type and commitment strategy
• Estimated savings
• Term and payment recommendations

Is it possible to rollback once CloudFix implements the fixer?
No. Reserved Node purchases are non-refundable and non-cancelable, so careful analysis and planning are crucial. CloudFix mitigates risk by offering conservative recommendations based on stable usage trends.

Can CloudFix implement the fix automatically once I accept the recommendation?
No. The purchase must be made manually by the customer. 

Does this fix require downtime?
No. Reserved Nodes only impact billing—they do not require changes to your infrastructure or downtime.

Additional Resources:

• Amazon Redshift Pricing
• Buying Reserved Nodes