Getting Started with Amazon EC2

EC2 is all about the “elastic compute cloud.” In layman’s terms, it’s a server. In slightly less layman’s terms, EC2 lets you easily run and manage many instances (like servers) and given the proper software and configurations, have a scalable platform for your web application, outsource resource-intensive tasks to EC2 or for whatever you would use a server farm.

AWS Simple Monthly Calculator 

and an alternative to EC2 using a VPS system such as Slicehost