Which pricing model encourages usage of resources only when needed in AWS?

The pay-as-you-go pricing model is designed specifically to encourage resource utilization only when needed. In this model, customers are charged based on the actual usage of cloud resources rather than committing to a flat fee or subscription. This means that users can scale their usage up or down as necessary, paying only for the compute, storage, and other services they actively use during a given period. This flexibility enables businesses to avoid over-provisioning and reduces costs, particularly for those with variable workloads.

In contrast, the subscription model typically requires customers to pay a set fee in advance for a specific period, which may not align with fluctuating usage. Flat-rate pricing involves a fixed charge regardless of how much a resource is utilized, which can lead to overpayment if the resources are underused. The freemium model offers basic services for free while charging for premium features, but it does not inherently relate to variable usage of resources. Therefore, the pay-as-you-go model stands out as the most effective for encouraging efficient resource use based on actual demand.