Microsoft Changes Azure Reservation Exchange Policy

18-08-2026 15:38Microsoft Azure services are billed based on actual consumption. Usage is metered hourly, charged per minute, and invoiced monthly. While this model provides flexibility, Azure costs can grow quickly. To reduce expenses, organizations can purchase Azure Reservations, committing to specific services for one or three years. Depending on the service, reservations can provide savings of up to 40% compared to pay-as-you-go pricing. Because business requirements often change over time, Microsoft has traditionally allowed customers to exchange an existing reservation for a different reservation. Microsoft originally announced the retirement of this exchange option in 2024, but the change was postponed several times. Microsoft has now confirmed that the exchange option will be retired on February 1, 2027.