Extra license cost with Savings Plan

Copper Contributor

The moment my Savings Plan started I was hit with a new meter for payg license cost for a variable amount. The existing license meter for the same amount every day continued. As it should because the number of cores and hours have not changed.

If I download the cost analysis data I notice that the new meter has a partnumber specified.

I am really puzzled by this extra meter which more or less consumes the discount on the VM meter. I have a case at Microsoft but the first response was not encouraging. Has anyone else experienced this? Or can explain it?

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6 Replies
Hi @Harry_van_Rijn
It's difficult to provide a specific answer without more information about your particular case. However, I can offer some general insights into how Azure Savings Plans work and how they might impact your billing.

Azure Savings Plans offer discounted rates on virtual machines (VMs) in exchange for a commitment to a consistent amount of usage (measured in dollars per hour) over a one or three-year term. They provide flexibility and can be applied to any VM within the same family and region, regardless of the operating system, size, or location.

Regarding the additional license costs you mentioned, it's important to note that the Savings Plan only covers the compute costs of VMs, not additional licensing costs such as those for Windows, SQL Server, or third-party software. This means that even if you have a Savings Plan, you may still see separate charges for these licenses on your bill.

It's also possible that the new meter you mentioned is associated with a different VM or service in your Azure environment. It would be helpful to review your Azure Cost Management and Billing data to ensure there are no unexpected charges or resources.

If you're not satisfied with the response you received from Microsoft Support, consider escalating your case or providing more detailed information about your billing concerns. The Azure community forums (https://docs.microsoft.com/en-us/answers/products/) can also be a helpful resource to gather insights and experiences from other Azure users.

In the meantime, review your Azure resources and billing data to ensure everything is configured correctly, and monitor your usage to identify any potential anomalies or unexpected costs.
Thanks, I am aware it only reduces hardware cost. That's why I was so surprised to see an additional license meter for 3 out of 200 VMs. Whilst investigating I discovered that license cost is being charged for AHUB VMs, which was an even costlier surprise. Both are followed up, unfortunately with very little speed.
Two of the three VMs have been upgraded to a v5 SKU which returned the license charging to a pattern which matches the run hours. Microsoft has given no explanation so far and I am doubting whether anyone actually looked at my case. The coming week two of these VMs will get AHUB as part of an optimisation and the third one will be upgraded to v5 as well in May. After that I expect everything to be back to normal with a bitter taste in my mouth about the lack on an explanation.
Hi @Harry_van_Rijn
I understand your concern about the additional license costs for the 3 out of 200 VMs and the higher costs for AHUB VMs. It can be frustrating when unexpected costs are incurred, and the follow-up process is slow.

While I can't directly resolve your issue, I can offer some suggestions to help you manage your costs and understand the billing better:

1. Verify the VM types: Double-check if the VMs in question are indeed AHUB VMs, and if they should be eligible for the reduced hardware costs. Sometimes, VMs can be misconfigured or mislabeled, leading to incorrect billing.

2. Review your licensing agreements: Go through your organization's licensing agreements, and check if there are any specific terms or conditions that might have resulted in additional license costs for those VMs.

3. Check for changes in policies or promotions: Sometimes, vendors change their licensing policies or discontinue promotions, which can lead to a sudden increase in costs. Make sure you are aware of any such changes.

4. Contact your vendor's support: Reach out to your vendor's support team for assistance with understanding the additional costs and resolving the issue. Provide them with specific details about the VMs and billing discrepancies you have encountered.

5. Monitor and optimize your costs: Utilize cost management tools and optimization best practices to better understand your organization's cloud usage and expenses. This can help you identify potential savings and prevent unexpected costs in the future.

In the meantime, be patient with the follow-up process, and keep communicating with the relevant teams to ensure the issue is addressed promptly. Remember that clear communication and persistence can help speed up the resolution process.
The AHUB issues was a non-issue: I track VM licenses on Service Name and Meter. I failed to see that SQL Server licenses are reported just like VM Licenses with only a different Meter Subcategory. A beginners mistake, I am surprised non of the people who support me spotted my oversight. AHUB is working fine, and I did discovered some SQL Server use which needs to be followed up before we purchase Hybrid Benefit for SQL Server.
After7 months I pulled the plug on this one. Microsoft 'support' came back again that no additional meters had been started whilst the data and graphs left no doubt that they started once the ASP was purchased and disappeared after we upgraded the SKU. Between these 2 events they showed erratic behaviour.