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☁️ Microsoft Azure

Azure 15% Egress Price Reduction for High-Volume Customers

📅 March 2025 ✍️ TCOIQ Analysis ⚡ Medium Impact

Microsoft Azure has reduced outbound data transfer pricing for high-volume customers. The updated tiered pricing: first 10 GB free, 10 GB–50 TB at $0.087/GB (unchanged), 50–150 TB at $0.083/GB (previously $0.087), 150–500 TB at $0.070/GB (previously $0.080), over 500 TB negotiated. The reductions apply automatically to eligible subscriptions — no action required.

In absolute terms: at 100 TB/month the new pricing saves approximately $870/month ($0.087 vs $0.083 × 100,000 GB is simplistic — the tiers apply incrementally). At 200 TB/month the saving is more significant: approximately $2,400/month compared to previous pricing. The reduction applies to general internet egress — not to Azure CDN, ExpressRoute or intra-region transfers.

Context: Azure egress is still approximately 10× more expensive than OCI ($0.0085/GB) and comparable to AWS ($0.09/GB) and GCP ($0.08/GB). The 15% reduction does not fundamentally change the egress pricing landscape. For organisations choosing between Azure and OCI based on egress costs, OCI remains dramatically cheaper for data-heavy workloads — a 100 TB workload costs $850 on OCI vs $8,300+ on Azure even after the reduction.

TCOIQ Action: Check your Azure Cost Analysis filtered by 'Bandwidth' usage type. If you are in the 50-500 TB/month range, you will see automatic savings without any changes. If egress is a significant portion of your Azure bill (>10%), model a hybrid architecture: keep managed services (Azure SQL, AKS) on Azure but serve data through Cloudflare or a CDN to reduce origin egress.

💰 TCOIQ Cost Impact
~$870/month saving at 100 TB/month, ~$2,400 at 200 TB — but OCI is still $7,450/month cheaper than Azure at 100 TB
📎 Official Source: Azure Bandwidth Pricing Page ↗

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