Azure Storage Reserved Capacity

To optimize Azure Storage costs, Microsoft provides option of reserved capacity on Azure storage. Reserved storage provides a fixed amount of capacity to customers, on the Azure cloud for the period of reservation.

Reserved capacity is priced at a discount compared to normal capacity on Azure storage. Reserved capacity is available for Block Blobs and Azure Data Lake Store Gen 2 data in standard storage account.  

The cost savings depend on the following factors:

  • Duration of reservation – This can be either one year or three years
  • Storage capacity reserved – The amount of storage capacity reserved (100 TB or more)
  • Access tier for the reserved capacity –  Hot, Cool or Archive, to learn more about Azure Storage access tiers, read this post
  • Type of redundancy chosen – All types of Azure Storage redundancies are available. To learn more about redundancy options, read this post

Azure storage capacity reservations are available in units of 100 TB and 1 PB per month. The reserved capacity can be for a single subscription or can be shared across multiple subscriptions for a customer.

Azure storage capacity reservation discounts are only applicable to the data storage charges. There will still be pay-as-you-go costs associated with other associated activities such as bandwidth and data transfer while accessing the stored data.

Reservations can be purchased through the Azure portal.

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