Pricing Tiers

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Current configuration

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App service plan options

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Basic tier (B1, B2, B3)

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Standard tier (S1, S2, S3)

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Premium tier (P1v3, P2v3, P3v3)

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Database SKU options

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Burstable tier (B_Standard_*)

• ✅ Cost-effective for light workloads
• ✅ CPU credits for burst performance
• ❌ Limited baseline performance

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General purpose (GP_Standard_*)

• ✅ Consistent performance
• ✅ Higher IOPS
• ✅ Read replicas support

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Memory optimized (MO_Standard_*)

• ✅ High memory-to-vCore ratio
• ✅ Best for analytics
• 💰 Highest cost

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Configuration

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Method 1: tfvars file

app_service_plan_sku = "S2"
database_sku = "GP_Standard_D4s_v3"

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Method 2: CLI override

terraform apply \
  -var="app_service_plan_sku=P1v2" \
  -var="database_sku=MO_Standard_E2s_v3"

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Autoscaling requirements

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Cost optimization

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Development environments

# Minimal cost configuration
app_service_plan_sku = "B1"      # ~$13/month
database_sku = "B_Standard_B1ms" # ~$12/month

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Production environment

# Performance configuration
app_service_plan_sku = "P0v3"          # ~$178/month
database_sku = "GP_Standard_D2s_v3"    # ~$110/month

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Strategies

1. Environment isolation - Cheaper tiers for non-prod
2. Scheduled scaling - Consider dev/test shutdown automation
3. Right-sizing - Monitor usage and adjust SKUs
4. Reserved capacity - Consider reservations for prod

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Monitoring costs

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Azure cost management

• Navigate to Cost Management + Billing
• Filter by resource group (e.g., dev01-cus-*)
• Set up budget alerts

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Azure advisor

• Check Advisor → Cost recommendations
• Review underutilized resources

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