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Azure offer details
Azure has different offers that you can purchase. So far, we have discussed pay-as-you-go, but there are others, such as Enterprise Agreements (EAs), Azure Sponsorship, and Azure in CSP. We will cover each of these as they are very important for billing:
Pay-as-you-go: This is a commonly known offering, where customers pay based on the consumption and the rates are available in the public-facing documentation of Azure. Customers receive an invoice every month for usage from Microsoft and they can pay via credit card or an invoice payment method.
EAs: EAs entail a monetary commitment with Microsoft, which means that organizations sign an agreement with Microsoft and promise that they will use x amount of Azure resources. If the usage goes above the agreed amount, the customer will receive an overage invoice. Customers can create multiple accounts under an EA and have multiple subscriptions inside these accounts. There are two types of EA: Direct EA and Indirect EA. Direct EA customers have a direct billing relationship with Microsoft; on the other hand, with Indirect EA, the billing is managed by a partner. EA customers will get better offers and discounts because of the commitment they make with Microsoft. The EA is managed via a portal called the EA portal (https://ea.azure.com), and you need to have enrolment privileges to access this portal.
Azure in CSP: Azure in CSP is where a customer reaches out to a Cloud Solution Provider (CSP) partner, and this partner provisions a subscription for the customer. The billing will be completely managed by the partner; the customer will not have a direct billing relationship with Microsoft. Microsoft invoices the partner and the partner invoices the customer, adding their margin.
Azure Sponsorship: Sponsorship is given by Microsoft to start-ups, NGOs, and other non-profit organizations to use Azure. The sponsorship is for a fixed term and a fixed amount of credit. If the term expires or credit gets exhausted, the subscription will be converted to a pay-as-you-go subscription. If organizations want to renew their sponsorship entitlement, they have to work with Microsoft.
We have just outlined a few of Azure's offerings. The complete list is available at https://azure.microsoft.com/support/legal/offer-details, which includes other offerings, such as Azure for Students, Azure Pass, and Dev/Test subscriptions.
Next, let's discuss billing in Azure.