A company is considering migrating their data processing infrastructure to the AWS Cloud to capitalize on cost savings. They currently operate their own data centers with substantial fixed costs and limited flexibility in capacity. How does AWS help this company achieve cost savings through economies of scale?
By reducing the number of services and features available to decrease complexity and management overhead.
By replacing their current fixed expenses with variable costs based on actual usage, eliminating the need for overprovisioning resources.
By providing discounted hardware for on-premises installation, reducing the capital expenditure for maintaining data centers.
By mandating long-term contracts that guarantee reduced rates over a specified time period, ensuring predictable costs.