Spotinst announces strategic partnership with AWS

Spotinst, the startup that helps customers automate selecting the cheapest set of resources to complete a job, announced a strategic partnership with Amazon Web Services today, joining the AWS Partner Network (APN) Global Startups program.

Under the agreement, Amazon will help with Spotinst’s go-to-market efforts, bringing their considerable financial and sales and marketing resources to the table. Spotinst CEO Amiram Shachar says the partnership gives the company resources it could never get on its own as a startup.

“AWS is going to take the product we have developed and we’re going to do a kind of go to market together, and actually go to their customers and offer them everything that we’ve built in the past few years,” Shachar explained.

What Spotinst does is find the cheapest resources to meet the customer requirements. Cloud platforms like AWS, Microsoft Azure and Google Cloud Platform, all of which Spotinst supports, have to maintain more resources than they need at any given time. The companies offer steep discounts to customers who want to access these resources, but they come with a strict condition that the platforms can take those resources back whenever they need them.

Spotinst manages this process, finding the best resources for the job based on customer requirements, and seamlessly shifts those resources before the cloud platform takes them back, ensuring that workloads keep functioning, but giving the customer the best possible price.

These capabilities are what attracted Spotinst to AWS. “Spotinst provides additional options for our customers to combine AWS features and pricing choices, for a variety of customer workloads,” Joshua Burgin, general manager for compute services at AWS said in a statement.

Shachar says that even though the company is teaming up with AWS, it will continue to support a multi-cloud environment. He wouldn’t speculate if this was the beginning of a deeper relationship that could eventually result in acquisition, but it certainly makes sense that AWS would be testing the waters here. Neither party would confirm that, however.

Spotinst was founded in 2015 and has raised $50 million to this point. Its most recent round was a $35 million Series B last August.