A company is deploying an application that processes large quantities of data in parallel.

it allows the company to deploy an application that processes large quantities of data in parallel and prevent groups of nodes from sharing the same underlying hardware. By running the EC2 instances in a spread placement group, the company can launch a small number of instances across distinct underlying hardware to reduce correlated failures. A spread placement group ensures that each instance is isolated from each other at the rack level. References:

Placement Groups

Spread Placement Groups