I've been testing this hypothesis:

Hypothesis: Ignoring the 15 minute cost for spinning up new instances,
the price we pay is the moment by moment minimum of (total instances)
and (active instances + Max Idle Instances). If Max Idle Instances is
set to Automatic, then we pay for the moment by moment total
instances.

It holds. That is, if you leave the default Max Idle Instances setting
(Automatic), you'll be billed for every bit of instance time the
scheduler chooses to run. If you set it to a fixed number, you'll have
a fixed cost cap based on the actual work you are doing (a lot more
like cpu time), in most cases a lot lower.

Here are a couple of posts in detail, with graphs, billing numbers, pictures!

The Spiny Norman Test
http://appenginedevelopment.blogspot.com/2011/10/spiny-norman-test.html

Go Spiny Norman, Go
http://appenginedevelopment.blogspot.com/2011/10/go-spiny-norman-go.html

-- 
Emlyn

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