Final answer:
Amazon EC2's cost advantages include only paying for used resources and tagging instances for better cost management. Low-cost AMIs provide initial savings, and automated backups can indirectly save costs by reducing downtime.
Step-by-step explanation:
When examining the cost perspective of moving existing resources to the AWS Cloud, specifically in relation to Amazon EC2, there are several advantages to consider. Notably, Amazon EC2 offers the ability to only pay for what you use, which is a cost-efficient model that does not exist in traditional on-premise data centers where resources are often paid for regardless of usage.
Another key advantage is the ability to tag instances, which can help organize and allocate costs more effectively, potentially leading to cost savings through more strategic resource management. Additionally, the use of low-cost Amazon Machine Images (AMIs) can reduce initial setup costs. Automated backups, while improving operational resilience, may not directly reduce costs but can result in indirect savings by minimizing potential downtime and maintenance expenses.