August 7, 2026
Analyst ReportMost Azure Reservation Exchanges End in 2027
- Most key Azure reservations purchased after Feb. 2027 can no longer be exchanged once purchased.
- This change closes a door that offered flexibility and potentially significant savings.
- Customers will be forced to buy savings plans if they require resource flexibility going forward.
As of Feb. 2027, new reservations can’t be exchanged in the future for a different reservation if that same service is also available within either the Azure Savings Plan for Compute or Savings Plan for Databases. Most core compute and database services—fundamental costs for most Azure customers—are included within one of the two types of savings plans. Existing reservations are expected to offer value toward an applicable savings plan only, not toward new reservations.
What Are Reservations and Savings Plans?
Both reservations and savings plans offer discounts on Azure resources in exchange for a commitment to consume a specific quantity of a service over a one-, three-, or, in some cases, five-year term. For a comprehensive table showing availability of the two options and where they overlap, see the illustration “Available Azure Reservations.”
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