Cloudways vs AWS Activate: Free Credits, Pricing & Eligibility Compared (2026)

Choosing between Cloudways and AWS Activate comes down to whether you want simple managed server hosting or direct cloud infrastructure. Cloudways offers up to 40% off for four months or a $100 credit for easy managed deployments. AWS Activate provides up to $100,000 in promotional credits for venture-backed startups building natively on AWS.

Cloudways vs AWS Activate: Main Differences

Cloudways is a managed hosting platform that simplifies running web applications, while AWS Activate provides direct cloud infrastructure credits for startups. Choosing the right program depends on your team's technical setup and overall hosting budget.

Managed Hosting vs Native Cloud Infrastructure

Cloudways sits on top of providers like DigitalOcean, Vultr, and AWS, taking care of server maintenance, security, and stack configuration. This makes it ideal for teams running WordPress, PHP apps, or online stores who do not want to manage raw cloud infrastructure.

AWS Activate gives you direct credits to use across hundreds of native AWS services, including EC2, S3, and Amazon Bedrock. You get complete control over your cloud architecture, but your team must handle configuration, security, and scaling manually.

Credit Values and Program Tiers

Cloudways gives new users a choice between two introductory promotions: 40% off the platform's price for four months, or an upfront $100 account credit. This offer is available to almost any new user signing up for an account.

AWS Activate features two distinct funding tiers based on your company's stage. The Founders package gives self-funded startups $1,000 in credits, while the Portfolio package provides up to $100,000 for startups backed by approved incubators, accelerators, or venture funds. You can view all options on our AWS Activate startup guide.

• Cloudways 40% Off: Best for steady, ongoing server deployments over your first four months.
• Cloudways $100 Credit: Best if you need to spin up larger servers right away.
• AWS Activate Founders ($1,000): Built for bootstrapper teams and early prototype testing.
• AWS Activate Portfolio (Up to $100,000): Tailored for high-growth startups linked to VC partner organizations.

Pricing Models and Expiration Rules

Both platforms handle billing and promotional credits differently. Understanding how discounts expire helps you avoid unexpected charges on your monthly invoice.

Cloudways Billing Mechanics

Cloudways combines its management platform fee with underlying server resource costs into a single monthly bill. When your 40% discount period ends after four months, your account automatically returns to standard pricing rates.

If you opt for the $100 promotional credit, it applies directly against your initial hosting invoices until the balance reaches zero. Remember that shutting down an application inside Cloudways does not delete the underlying server; you must delete the entire server instance to stop billing charges.

1. Select your server size and provider inside the Cloudways panel.
2. Apply your promotional code at checkout before creating resources.
3. Track your usage so you can adjust server sizes before standard rates take effect after month four.

AWS Activate Credit Expiration Rules

AWS Activate credits offset eligible usage charges as you generate them. These credits usually expire within 12 to 24 months, depending on the package approved for your company.

Once your credits expire or run out, AWS charges your registered payment card automatically. Some services, third-party marketplace products, and support tiers may not be covered by credits, so always review your AWS billing dashboard closely.

Eligibility and Step-by-Step Claiming

Getting approved for hosting credits depends on meeting the platform requirements. Here is how to prepare your application for both providers.

How to Claim Cloudways Discounts

Cloudways does not require startup verification or funding documents. To learn more about alternative hosting options, check out our guide on Cloudways platform hosting.

Simply create a new account using an unbilled email address and apply the promotion code during registration. The discount or credit will reflect immediately on your dashboard.

• Sign up for a fresh Cloudways user account.
• Enter your promo code during the registration steps.
• Confirm the credit balance inside your billing settings before launching servers.

How to Claim AWS Activate Credits

Applying for AWS Activate requires an active company profile and an established AWS account. Make sure you set up an AWS Builder ID using a professional business domain address.

If applying for the Portfolio tier, request your accelerator or investor's unique Organization ID before submitting. The review team typically takes 5 to 10 business days to approve applications.

1. Create a paid-tier AWS account using your business email.
2. Log in to the AWS Activate portal with your Builder ID.
3. Fill out your company profile, website details, and funding information.
4. Enter your provider's Organization ID if applying for Portfolio credits.
5. Submit the application and check your billing console for credit allocation after approval.