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Merge pull request #296674 from pri-mittal/patch-9
Update synapse-analytics-pre-purchase-plan.md
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articles/cost-management-billing/reservations/synapse-analytics-pre-purchase-plan.md

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@@ -24,6 +24,17 @@ There’s no ratio on which the SCUs are applied. SCUs are equivalent to the pur
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For example, if you want to use your SCUs for Data Warehousing – Dedicated SQL pool in West US 2, and you consume 1 hour of SQL Dedicated Pool DWU100 that has a retail price of $1.20, then 1.2 SCUs are consumed.
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As another example, an enterprise customer has an Annual Commitment Discount (ACD) of 10%. This customer typically consumes 120,000 USD worth of Azure Synapse Analytics at retail prices annually. With the ACD applied, their actual usage cost is 108,000 USD.
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This year, the customer decided to purchase 100,000 Azure Synapse commit units (SCU) for 82,000 USD, which includes an 18% discount off the retail prices. This discount isn't combined with the ACD, effectively making the actual discount rate 8%.
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As SCUs are consumed at retail prices, the customer would still need to use 20,000 USD worth of Azure Synapse Analytics at the pay-as-you-go (PAYG) rates, applying the ACD discount.
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At the end of the commitment period, the actual Azure Synapse Analytics usage cost for the customer would be 82,000 USD for the SCUs (reflecting the price with the 18% discount) plus 18,000 USD for the PAYG consumption (reflecting the 10% ACD discount). This totals to 100,000 USD.
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> [!NOTE]
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> The mentioned prices are for example purposes only. They aren't intended to represent actual costs.
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The Synapse prepurchase discount applies to usage from the following products:
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- Azure Synapse Analytics Dedicated SQL Pool

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