Save Money with Azure Reservations

Azure Reservations, what are they and how can they help you save money?

Azure Reservations, what are they and how can they help you save money?

Let’s get started!

Introduction

Azure Reservations are the same as reserved pricing in Amazon Web Services. Commit for a specified amount of time (1 or 3 years typically) and enjoy a significant discount (for most commitments but not all).

Services offered for reservation

  • Reserved Virtual Machine Instance
  • Azure Storage reserved capacity
  • Azure Disk Storage reservations
  • Azure Cosmos DB reserved capacity
  • SQL Database reserved vCore
  • SQL Data Warehouse
  • App Service stamp fee
  • Azure Databricks
  • Azure Database for MySQL
  • Azure Database for PostgreSQL
  • Azure Database for MariaDB
  • Azure Data Explorer
  • Azure Cache for Redis
  • Premium SSD Managed Disks

It’s worth mentioning that reservations typically count toward running the particular service and not any licensing costs (like running a Windows 10 VM, the cost of the OS disk and Windows is outside the reservation cost.)

However, there are some licenses available for reservations such as:

  • SUSE Linux
  • Red Hat Plans
  • Azure VMware Solution by CloudSimple
  • Azure Red Hat OpenShift

Virtual Machine reservation examples

Name (SKU)RegionvCPU/RAM(GB)Billing FrequencyReserved Pricing
Standard_B1sEast US1/1Monthly 4.41 USD
41% Estimated savings
Standard_F2s_v2 North Europe2/4 Monthly 41.50 USD
40% Estimated savings
Standard_D2s_v3 West US2/8 Monthly 57.91 USD
32% Estimated savings
  • Examples are for 1 year term with Pay-as-you-go subscription

More Information

https://docs.microsoft.com/en-us/azure/virtual-machines/windows/sizes

https://docs.microsoft.com/en-us/azure/cost-management-billing/reservations/save-compute-costs-reservations

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