The Azure Cost-Savings Benefit Other Cloud Providers Don’t Want You to Know About!

By Ric Opal| January 12, 2018

Despite mid-size organization’s desire to capitalize on the cost-saving benefits of the cloud, ramp-up expenses are holding organizations back from moving as fast as they would like. This can be frustrating for IT who want to leverage new and emerging technology in the cloud but are stuck with an existing licensing agreement that requires them to purchase yet another Windows server to set up new cloud deployments.

That is, until Microsoft came out with Azure Hybrid Use Benefit (HUB) and essentially eliminated this problem.

If you’re already a Windows Server Standard or Datacenter customers and you aren’t leveraging this benefit – you should be. If you’re still weighing your options for which public cloud to go with, it’s important to factor this benefit into your decision. Not only can it save you up to 41% on Windows Server virtual machines, but I have yet to see any other provider come up with an equivalent cost-savings benefit.

What Is Azure Hybrid Use Benefit?

Azure Hybrid Use Benefit helps you get started with cloud computing using your existing investment. What this means is, whether you’re doing new cloud deployments or migrating existing workloads, you are entitled to extend your existing on-premises Windows Server license and Software Assurance to the cloud at the base rate, which is currently the same as the Linux rate for virtual machines.

What’s So Special About That?

Licensing can be a tedious subject, but what this comes down to is huge potential cost savings for your business. Essentially, for every Windows Server license you own, you can now get started in Azure for less. Whether you’re moving a few workloads to the cloud or the entire datacenter, Azure Hybrid Use Benefit can save you up to 41% on licensing costs, according to Microsoft.

Beyond cost-savings, it also means you can accelerate your cloud migration strategy, gaining a leg up on your competition by leveraging the greater speed, scalability, and economic value of the cloud sooner.

Just How Much Can I Save?

Azure HUB can dramatically reduce the cost of moving to the cloud by slashing licensing costs. Here is an example:

Before the Azure Hybrid Use Benefit, you’re paying around $4,555 a year for one Windows Server virtual machine. By leveraging the Azure HUB, you’ll only pay for the annual cost of one base compute virtual machine of $2,348, and just $180 annually for Windows Server. That’s a $2,027 savings or nearly half of what you were paying before!

Check out the Azure Hybrid Benefit Savings Calculator to see how much your business can save.

Azure HUB cost savings
Source: Microsoft Developer - How Can I Use the Hybrid Use Benefit in Azure?[/caption]

Moving virtual machines to the cloud is only the first step in your cloud migration. If you’re looking for a strategic partner to help you identify the right solution and maximize your savings, contact us to learn more about our cloud acceleration strategy.

Leveraging opportunities in the cloud