> For the complete documentation index, see [llms.txt](https://help.pump.co/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.pump.co/pump-save/discount-prices-by-cloud-provider.md).

# Discount Prices by Cloud Provider

Cloud providers offer significant discounts when you commit to a minimum level of usage for one or three years. The Commitments engine automatically purchases and manages these commitments on your behalf. This page lists the standard discount ranges by provider and commitment type.

All percentages below are relative to on-demand (pay-as-you-go) pricing. Actual discounts vary based on instance type, region, term length, and payment option. Longer terms and more upfront payment yield deeper discounts.

### AWS

| Commitment type                      | 1-year discount | 3-year discount | Applies to                                                    |
| ------------------------------------ | --------------- | --------------- | ------------------------------------------------------------- |
| EC2 Reserved Instances (Standard)    | 30% to 40%      | Up to 72%       | EC2 instances in a specific family and region                 |
| EC2 Reserved Instances (Convertible) | 20% to 30%      | Up to 66%       | EC2 instances with flexibility to change family               |
| Compute Savings Plans                | 20% to 30%      | Up to 66%       | EC2, Lambda, Fargate across any region or family              |
| EC2 Instance Savings Plans           | 30% to 40%      | Up to 72%       | EC2 instances in a specific family and region                 |
| RDS Reserved Instances               | 25% to 40%      | Up to 65%       | RDS databases (MySQL, PostgreSQL, Aurora, SQL Server, Oracle) |
| ElastiCache Reserved Nodes           | 25% to 35%      | Up to 55%       | ElastiCache for Redis and Memcached                           |
| Redshift Reserved Nodes              | 25% to 35%      | Up to 65%       | Amazon Redshift clusters                                      |
| OpenSearch Reserved Instances        | 25% to 35%      | Up to 55%       | Amazon OpenSearch Service domains                             |
| SageMaker Savings Plans              | 20% to 30%      | Up to 64%       | SageMaker training and inference                              |

AWS discounts vary further by payment option:

| Payment option  | Discount level     | Cash flow impact                                                  |
| --------------- | ------------------ | ----------------------------------------------------------------- |
| No Upfront      | Lowest discount    | No upfront cost. Billed hourly at the discounted rate.            |
| Partial Upfront | Mid-range discount | Pay a portion upfront, remainder billed hourly at a reduced rate. |
| All Upfront     | Highest discount   | Pay the full term upfront. No hourly charges.                     |

### GCP

| Commitment type                        | 1-year discount | 3-year discount | Applies to                                                   |
| -------------------------------------- | --------------- | --------------- | ------------------------------------------------------------ |
| Resource-based CUDs (general purpose)  | 37%             | Up to 55%       | Compute Engine VMs with specific vCPU and memory in a region |
| Resource-based CUDs (memory-optimized) | 37%             | Up to 70%       | M1, M2, M3 memory-optimized VMs                              |
| Spend-based (Flex) CUDs                | 28%             | 46%             | VMs, GKE, Cloud Run, and other eligible compute              |
| GKE Autopilot CUDs                     | 20%             | 45%             | GKE Autopilot clusters                                       |
| Cloud SQL CUDs                         | 25%             | Up to 52%       | Cloud SQL instances                                          |

GCP CUDs do not require upfront payment. You are billed monthly for your committed amount regardless of actual usage.

Flex CUDs cover a broad range of compute services under a single commitment, including Compute Engine VMs, GKE Standard and Autopilot clusters, and Cloud Run services with instance-based billing.

### Azure

| Commitment type               | 1-year discount | 3-year discount | Applies to                                              |
| ----------------------------- | --------------- | --------------- | ------------------------------------------------------- |
| Reserved VM Instances         | 37% to 46%      | 60% to 72%      | VMs in a specific family and region                     |
| Savings Plans for Compute     | 11% to 33%      | 32% to 65%      | Compute across families, regions, and operating systems |
| Azure SQL Reserved Capacity   | 25% to 35%      | Up to 65%       | Azure SQL Database and Managed Instance                 |
| Cosmos DB Reserved Capacity   | 20% to 30%      | Up to 65%       | Azure Cosmos DB throughput                              |
| Azure Database for PostgreSQL | 25% to 35%      | Up to 65%       | PostgreSQL Flexible Server                              |

Azure Reservations can be combined with Azure Hybrid Benefit (AHB) for Windows Server or SQL Server workloads. AHB converts on-premise licenses with active Software Assurance into Azure compute discounts. When stacked, combined savings on Windows VMs can reach up to 80%.

### How to read these ranges

The low end of each range typically represents a 1-year commitment with no upfront payment (or the most flexible commitment type). The high end represents a 3-year commitment with full upfront payment (or the most specific commitment type).

Pump's Commitments recommendation engine evaluates your usage and selects the commitment type, term, and payment option that maximizes your savings while minimizing over-commitment risk. You do not need to navigate these options yourself.

### These numbers are approximate

Discount percentages are based on published cloud provider pricing as of mid-2026 and represent typical ranges across common instance types and regions. Exact discounts depend on your specific configuration. Your Savings Estimate will show the projected savings for your actual workload.


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