Unlocking Financial Insights: Using Kubernetes Labels to Split and Track Application Costs on Amazon EKS
In today’s rapidly evolving cloud-native landscape, savvy organizations constantly seek innovative ways to manage resources and costs effectively. Amazon Web Services (AWS) has taken a significant step forward by introducing support for Kubernetes labels in cost allocation on Amazon Elastic Kubernetes Service (EKS). This fresh capability not only highlights AWS’s commitment to innovation but also provides organizations with the tools to gain unparalleled insights into their cloud expenditures.
The Dawn of a New Cost Allocation Era
The introduction of Kubernetes labels into cost allocation data for Amazon EKS is a game-changer. Organizations can now import Kubernetes labels as user-defined cost allocation tags, allowing them to precisely attribute the costs of applications running in an Amazon EKS cluster using AWS Cost and Usage Reports (CUR). This feature empowers businesses to customize their cost allocation according to specific organizational needs and requirements.
Navigating the Complexities of Shared Environments
Consider a scenario in which a company uses a shared Amazon EKS cluster for various applications. The infrastructure supports Amazon EMR for big data alongside traditional applications, with departments such as Research and IT sharing ownership. This shared model, while resource-efficient, introduces complexity in accurately attributing costs. To tackle this, a strategic labeling system utilizing Kubernetes labels for Kubernetes resources and AWS Tags for AWS resources paves the way for clearer financial visibility and accountability.
Real-World Use Cases Demonstrating Cost Visibility
Use Case 1: Enhancing Visibility for Spark Applications
Running big data applications like Apache Spark on Amazon EMR within Amazon EKS entails additional labeling for each pod, identifying Spark application specifics. These Kubernetes labels become cost allocation tags once activated, allowing organizations to track expenses linked to specific Spark applications using AWS Cost and Usage Reports. By leveraging both pod and EMR service labels, organizations can effectively distribute costs across compute resources and service charges.
Use Case 2: Total Cost of Ownership
Applications in a shared Amazon EKS environment often utilize various AWS resources, such as Amazon RDS or S3. Application owners may wish to determine the total cost of ownership across all resources. By consistently applying Kubernetes labels and AWS tags, businesses can compute an application’s total expenditure, inclusive of both Kubernetes and AWS resources. This holistic approach enables detailed financial understanding and management across multiple applications and clusters.
Taking Control: Implementing Split Cost Allocation Data
To harness this transformative capability, organizations must follow several key steps:
Setup: Opt into “Split cost allocation data” from the AWS Billing and Cost Management Console, selecting preferred pod-level metrics collection options like Prometheus or CloudWatch.
Activate Cost Allocation Tags: Import Kubernetes labels as cost allocation tags, activating relevant tags from the AWS Management Console.
CUR Configuration: Set up or edit existing Cost and Usage Reports to incorporate split cost allocation data, ensuring new CUR 2.0 reports are as granular as possible.
Once configured, split cost allocation data enriches CUR reports with new columns derived from Kubernetes labels, providing detailed insights. Activation is straightforward, involving opt-ins and adjustments within the AWS Billing Console, followed by the inclusion of labels into your Cost and Usage Reports.
Conclusion: Fostering Informed Cost Management
The adoption of Kubernetes labels in cost allocation on Amazon EKS is not just an administrative improvement; it is a strategic enhancement enabling organizations to drive efficient cost management and transparency. By empowering businesses to visualize costs and refine resource allocation, this feature supports informed decision-making and optimized financial management across cloud environments. For organizations investing in robust and adaptable cloud-financial operations, embracing this technology is a crucial step towards sustainable and valuable management of application expenditures.
For those ready to embark on this transformative journey, AWS lays out a detailed guide to facilitate the integration and optimization of Kubernetes labels in cost management systems, paving the way for a brighter, more financially transparent future in cloud computing.