What is Azure SQL Database reserved capacity?

Azure SQL Database reserved capacity enables you to save up to 33%1 compared to license-included pricing by pre-paying for your SQL Database compute capacity on a one or three-year term. It is an expansion of Azure reservation pricing, which also includes Azure reserved VM instances. Today, customers with active Software Assurance can save up to 55% using Azure Hybrid Benefit for SQL Server with the new vCore-based purchasing model in SQL Database. Now, with support for reserved capacity on single databases, elastic pools and managed instances, you can unlock even more savings when you combine your Azure Hybrid Benefit with reserved vCore pricing to achieve savings of up to 80%2. You can lower your total cost of ownership by combining reservation pricing with license-included prices to manage costs across predictable and variable workloads and improve your budgeting and forecasting with a single upfront payment, making it easy to calculate your investments. 1 Savings based on eight vCore SQL Database Managed Instance General Purpose in West2 US Region, running 730 hours per month. Savings are calculated from on demand full price (license included) against 3-year reserved capacity License Included. Actual savings may vary based on region, instance size and performance tier. Prices as of May 2018, subject to change. 2 Savings based on eight vCore SQL Database Managed Instance Business Critical in West2 US Region, running 730 hours per month. Savings are calculated from on demand full price (license included) against base rate with Azure Hybrid Benefit plus 3-year reserved capacity. Savings excludes Software Assurance cost for SQL Server Enterprise edition, which may vary based on EA agreement. Actual savings may vary based on region, instance size and performance tier. Prices as of May 2018, subject to change.

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