From 9fc11ab742dd336f3a0e208a5c0dea6b7d4f8a34 Mon Sep 17 00:00:00 2001 From: Christopher Harris Date: Wed, 30 Oct 2024 12:42:48 -0400 Subject: [PATCH] Rebasing against working_draft --- .../appendix/commitment_discounts.md | 278 ------------------ .../commitment_discounts.md | 86 +++--- 2 files changed, 43 insertions(+), 321 deletions(-) delete mode 100644 specification/appendix/commitment_discounts.md diff --git a/specification/appendix/commitment_discounts.md b/specification/appendix/commitment_discounts.md deleted file mode 100644 index 243502a74..000000000 --- a/specification/appendix/commitment_discounts.md +++ /dev/null @@ -1,278 +0,0 @@ -# Commitment Discounts - -A [*commitment discount*](#glossary:commitment-discount) is a billing discount model that offers reduced rates on preselected [*SKUs*](#glossary:sku) in exchange for an obligated usage or spend amount over a predefined [*term*](#glossary:term). *Commitment discounts* typically consist of purchase and usage records within cost and usage datasets. - -Usage-based *commitment discounts* obligate a customer to a predetermined amount of usage over a preselected *term*. In some cases, usage-based *commitment discounts* also feature [*commitment discount flexibility*](#glossary:commitment-discount-flexibility) which may expand the types of [*resources*](#glossary:resource) that a *commitment discount* can cover. It is important to note when mixing *commitment discounts* with and without *commitment discount flexibility*, the [CommitmentDiscountUnit](#commitmentdiscountunit) should reflect this difference. - -Spend-based commitment discounts obligate a customer to a predetermined amount of spend over a preselected *term*. In the usage examples below, each [*row*](#glossary:row) measures the monetary amount of the hourly commit consumed by the *commitment discount*, so the CommitmentDiscountUnit chosen is "USD", or the [*billing currency*](#glossary:billing-currency). - -## Purchasing - -While customers are bound to the *term* of a *commitment discounts*, providers offer some or all of the following payment options before and/or during the *term*: - -* *All Upfront* - The *commitment discounts* is paid in full before the *term* begins. -* *No Upfront* - The *commitment discounts* is paid on a repeated basis, typically over each [*billing period*](#glossary:billing-period) of the *term*. -* *Partial Upfront* - Some of the *commitment discounts* is paid before the *term* begins, and the rest is paid repeatedly over the *term*. - -For example, if a customer buys a 1-year, spend-based *commitment discount* with a $1.00 hourly commit and pays with the partial option, the *commitment discount's* payment consists of a one-time purchase in the beginning of the *term* *and* monthly recurring purchases with the following totals: - -1. *One-Time* - $4,380 (`24 hours * 365 days * $1.00 * 0.5`) -2. *Recurring* - $182.50 (`24 hours * 365 days * $1.00 / 12 months`) - -## Usage - -Commitment discounts follow a "use-it-or-lose-it" model where the [*amortization*](#glossary:amortization) of a *commitment discount's* purchase applies evenly to eligible *resources* over each [*charge period*](#glossary:charge-period) of the *term*. - -For example, if a customer buys a spend-based *commitment discount* with a $1.00 hourly commit in January (31 days), only $1.00 is eligible for consumption for each hourly *charge period*. If a customer has eligible *resources* running during this *charge period*, an amount of up to $1.00 will be allocated to these *resources*. Conversely, if a customer does have eligible *resources* running that fully take advantage of this $1.00 during this *charge period*, then some or all of this amount will go to waste. - -## Commitment Discounts in FOCUS - -Within the FOCUS specification, the following examples demonstrate how a *commitment discount* appears across various payment and usage scenarios. - -### Purchase *Rows* - -All *commitment discount* purchases appear with a positive [BilledCost](#billedcost), [PricingCategory](#pricingcategory) as "Standard", and with the *commitment discount's* id populating both the [ResourceId](#resourceid) and [CommitmentDiscountId](#commitmentdiscountid) value. One-time purchases appear as a single record with [ChargeCategory](#chargecategory) as "Purchase", [ChargeFrequency](#chargefrequency) as "One-Time", and the total quantity and units for *commitment discount's* *term* reflected as [CommitmentDiscountQuantity](#commitmentdiscountquantity) and CommitmentDiscountUnit, respectively. - -Recurring purchases are allocated across all corresponding *charge periods* of the *term* when ChargeCategory is "Purchase", ChargeFrequency is "Recurring", and CommitmentDiscountQuantity and CommitmentDiscountUnit are reflected only for that *charge period*. - -Using the same *commitment discount* example as above with a one-year, spend-based *commitment discount* with a $1.00 hourly commit purchased on Jan 1, 2023, various purchase options are available: - -#### Scenario #1: All Upfront - -The entire *commitment discount* is billed _once_ during the first *charge period* of the *term* for $8,670 (derived as `24 hours * 365 days * $1.00`). - -```json -[ - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2024-01-01T00:00:00Z", - "ChargeCategory": "Purchase", - "ChargeFrequency": "One-Time", - "PricingCategory": "Standard", - "ResourceId": "", - "BilledCost": 8760.00, - "EffectiveCost": 0.00, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 8760.00, - "CommitmentDiscountUnit": "USD" - } -] -``` - -#### Scenario #2: No Upfront - -The *commitment discount* is billed across all 8,760 (`24 hours * 365 days`) *charge periods* of the *term* with $1.00 allocated to each *charge period* over the *term*. - -```json -[ - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Purchase", - "ChargeFrequency": "Recurring", - "PricingCategory": "Standard", - "ResourceId": "", - "BilledCost": 1.00, - "EffectiveCost": 0.00, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 1.00, - "CommitmentDiscountUnit": "USD" - }, - - /* ... 8,759 more recurring purchase records for the *term* ... */ -] -``` - -#### Scenario #3: Partial Upfront - -With a 50/50 split, half of the commitment is billed _once_ during the first *charge period* of the *term* for $4,380 (derived as `24 hours * 182.5 days * $1.00`), and the other half is billed across each *charge period* over the term, derived as (`$1.00 * 8,760 hours * 0.5`). Amortized costs incur half of the amount (i.e. $0.50) from the one-time purchase and the other half from the recurring purchase. - -```json -[ - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2024-01-01T00:00:00Z", - "ChargeCategory": "Purchase", - "ChargeFrequency": "One-Time", - "PricingCategory": "Standard", - "ResourceId": "", - "BilledCost": 4380.00, - "EffectiveCost": 0.00, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 4380.00, - "CommitmentDiscountUnit": "USD" - }, - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Purchase", - "ChargeFrequency": "Recurring", - "PricingCategory": "Standard", - "ResourceId": "", - "BilledCost": 0.50, - "EffectiveCost": 0.00, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 0.50, - "CommitmentDiscountUnit": "USD" - }, - - /* ... 8,759 more recurring purchase records for the *term* ... */ -] -``` - -### Usage *Rows* - -*Amortization* of *commitment discounts* occur similarly regardless of how *commitment discount* purchases are made. The same usage-based or spend-based amount is applied evenly across all *charge periods* and potentially allocated to eligible *resources*. Continuing with the same *commitment discount* example, a one-year, spend-based *commitment discount* with a $1.00 hourly commit and 1 *resource* (for simplicity) yields 4 types of scenarios that can occur during a *charge period*: - -* Scenario #1: An eligible *resource* fully consumes the allocated amount (100% utilization) -* Scenario #2: No eligible *resource* consumes the allocated amount (0% utilization) -* Scenario #3: An eligible *resource* partially consumes the allocated amount (75% utilization) -* Scenario #4: An eligible *resource* fully consumes the $1.00 hourly commit with an overage (100% utilization + overage) - -#### Scenario #1: An eligible *resource* fully consumes the allocated amount (100% utilization) - -In this scenario, one eligible *resource* runs for the full hour and consumes $1.00, so one *row* allocated to the *resource* is produced. - -```json -[ - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Usage", - "ChargeFrequency": "Usage-Based", - "PricingCategory": "Committed", - "ResourceId": "", - "ConsumedQuantity": 1, - "ConsumedUnit": "Hour", - "BilledCost": 0.00, - "EffectiveCost": 1.00, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 1.00, - "CommitmentDiscountStatus": "Used", - "CommitmentDiscountUnit": "USD" - } -] -``` - -#### Scenario #2: No eligible *resource* consumes the allocated amount (0% utilization) - -In this situation, the full eligible, $1.00 amount remained unutilized and results in 1 unused *row*. In this scenario, it is important to note that while CommitmentDiscountQuantity is not because $1 was still drawn down by the *commitment discount* even though, no *resource* was allocated, so [ConsumedQuantity](#consumedquantity) and [ConsumedUnit](#consumedunit) are null. - -```json -[ - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Usage", - "ChargeFrequency": "Usage-Based", - "PricingCategory": "Committed", - "ResourceId": "", - "ConsumedQuantity": null, - "ConsumedUnit": null, - "BilledCost": 0.00, - "EffectiveCost": 1.00, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 1.00, - "CommitmentDiscountStatus": "Unused", - "CommitmentDiscountUnit": "USD" - } -] -``` - -#### Scenario #3: An eligible *resource* partially consumes the allocated amount (75% utilization) - -In this scenario, one eligible *resource* runs for the full hour and consumes $0.75 of the $1.00 allocation. One *row* shows $0.75 to a *resource*, and the other *row* shows that $0.25 was unused. - -```json -[ - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Usage", - "ChargeFrequency": "Usage-Based", - "PricingCategory": "Committed", - "ResourceId": "", - "ConsumedQuantity": 1, - "ConsumedUnit": "Hour", - "BilledCost": 0.00, - "EffectiveCost": 0.75, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 0.75, - "CommitmentDiscountStatus": "Used", - "CommitmentDiscountUnit": "USD" - }, - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Usage", - "ChargeFrequency": "Usage-Based", - "PricingCategory": "Committed", - "ResourceId": "", - "ConsumedQuantity": null, - "ConsumedUnit": null, - "BilledCost": 0.00, - "EffectiveCost": 0.25, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 0.25, - "CommitmentDiscountStatus": "Unused", - "CommitmentDiscountUnit": "USD" - } -] -``` - -#### Scenario #4: An eligible *resource* fully consumes the $1.00 hourly commit with an overage (100% utilization + overage) - -In this scenario, one eligible *resource* runs for the full hour and is charged $1.50. One *row* shows that $1.00 was *amortized* from the *commitment discount*, and the other shows that $0.50 was charged as standard, on-demand spend. - -```json -[ - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Usage", - "ChargeFrequency": "Usage-Based", - "PricingCategory": "Committed", - "ResourceId": "", - "ConsumedQuantity": 1, - "ConsumedUnit": "Hour", - "BilledCost": 0.00, - "EffectiveCost": 1.00, - "CommitmentDiscountId": "", - "CommitmentDiscountQuantity": 1.00, - "CommitmentDiscountStatus": "Used", - "CommitmentDiscountUnit": "USD" - }, - { - "BillingPeriodStartDate": "2023-01-01T00:00:00Z", - "BillingPeriodEndDate": "2023-02-01T00:00:00Z", - "ChargePeriodStartDate": "2023-01-01T00:00:00Z", - "ChargePeriodEndDate": "2023-01-01T01:00:00Z", - "ChargeCategory": "Usage", - "ChargeFrequency": "Usage-Based", - "PricingCategory": "Standard", - "ResourceId": "", - "ConsumedQuantity": 1, - "ConsumedUnit": "Hour", - "BilledCost": 0.50, - "EffectiveCost": 0.00 - } -] -``` diff --git a/specification/appendix/commitment_discounts/commitment_discounts.md b/specification/appendix/commitment_discounts/commitment_discounts.md index 9e52e5bf9..243502a74 100644 --- a/specification/appendix/commitment_discounts/commitment_discounts.md +++ b/specification/appendix/commitment_discounts/commitment_discounts.md @@ -1,45 +1,45 @@ # Commitment Discounts -A commitment discount is a billing discount model that offers reduced rates on preselected SKUs in exchange for an obligated usage or spend amount over a predefined term. Commitment discounts typically consist of a set of purchase and usage records within cost and usage datasets. +A [*commitment discount*](#glossary:commitment-discount) is a billing discount model that offers reduced rates on preselected [*SKUs*](#glossary:sku) in exchange for an obligated usage or spend amount over a predefined [*term*](#glossary:term). *Commitment discounts* typically consist of purchase and usage records within cost and usage datasets. -Usage-based commitment discounts obligate a customer to a predetermined amount of usage over a preselected term, typically measured in "Hours". In some cases, usage-based commitment discounts allow similar resources of different size classifications to relatively benefit from commitment discount rates. This is typically known as "commitment flexibility", and can be derived by multiplying the number of actual hours consumed by a resource by its predetermined *normalization factor* or *ratio* to derive the number of normalized hours consumed. +Usage-based *commitment discounts* obligate a customer to a predetermined amount of usage over a preselected *term*. In some cases, usage-based *commitment discounts* also feature [*commitment discount flexibility*](#glossary:commitment-discount-flexibility) which may expand the types of [*resources*](#glossary:resource) that a *commitment discount* can cover. It is important to note when mixing *commitment discounts* with and without *commitment discount flexibility*, the [CommitmentDiscountUnit](#commitmentdiscountunit) should reflect this difference. -Spend-based commitment discounts obligate a customer to a predetermined amount of spend over a preselected term, typically denoted by the invoice's selected billing currency (ex: "USD"). +Spend-based commitment discounts obligate a customer to a predetermined amount of spend over a preselected *term*. In the usage examples below, each [*row*](#glossary:row) measures the monetary amount of the hourly commit consumed by the *commitment discount*, so the CommitmentDiscountUnit chosen is "USD", or the [*billing currency*](#glossary:billing-currency). ## Purchasing -While customers are bound to the term of a commitment discount, cloud-service providers, or CSPs, offer various payment options before and/or during the term: +While customers are bound to the *term* of a *commitment discounts*, providers offer some or all of the following payment options before and/or during the *term*: -* *Upfront* - The commitment discount is paid in full before the term begins. -* *Recurring* - The commitment discount is paid on a repeated basis, typically over each billing period of the term. -* *Hybrid* - Some of the commitment discount is paid before the term begins, and the rest is paid repeatedly over the term. +* *All Upfront* - The *commitment discounts* is paid in full before the *term* begins. +* *No Upfront* - The *commitment discounts* is paid on a repeated basis, typically over each [*billing period*](#glossary:billing-period) of the *term*. +* *Partial Upfront* - Some of the *commitment discounts* is paid before the *term* begins, and the rest is paid repeatedly over the *term*. -For example, if a customer buys a spend-based commitment discount for 1 year, with a $1.00 hourly commitment, and pays with the hybrid option, the commitment discount's payment consists of both: +For example, if a customer buys a 1-year, spend-based *commitment discount* with a $1.00 hourly commit and pays with the partial option, the *commitment discount's* payment consists of a one-time purchase in the beginning of the *term* *and* monthly recurring purchases with the following totals: -1. *Upfront* - $4,380 (`24 hours * 365 days * $1.00 * 0.5`) -2. *Recurring* - $182.50 (`24 hours * 365 days * $1.00 / 12 months`) +1. *One-Time* - $4,380 (`24 hours * 365 days * $1.00 * 0.5`) +2. *Recurring* - $182.50 (`24 hours * 365 days * $1.00 / 12 months`) ## Usage -Commitment discounts follow a "use-it-or-lose-it" model where the amortization of a commitment discount's purchase applies evenly over each charge period of eligible resources over the term. +Commitment discounts follow a "use-it-or-lose-it" model where the [*amortization*](#glossary:amortization) of a *commitment discount's* purchase applies evenly to eligible *resources* over each [*charge period*](#glossary:charge-period) of the *term*. -For example, if a customer buys a spend-based commitment with a $1.00 hourly commitment in January (31 days), only $1.00 is eligible for consumption for each hourly charge period. This means that if a customer has eligible resources running during this charge period, some or all of the $1.00 that is allocated to the charge period will also be allocated to some or all of these resources. Conversely, if a customer does not have eligible resources running during this charge period, the $1.00 allocated to the charge period is wasted. +For example, if a customer buys a spend-based *commitment discount* with a $1.00 hourly commit in January (31 days), only $1.00 is eligible for consumption for each hourly *charge period*. If a customer has eligible *resources* running during this *charge period*, an amount of up to $1.00 will be allocated to these *resources*. Conversely, if a customer does have eligible *resources* running that fully take advantage of this $1.00 during this *charge period*, then some or all of this amount will go to waste. ## Commitment Discounts in FOCUS -Within the FOCUS specification, the following examples demonstrate how a commitment discount would appear across various payment and usage scenarios. +Within the FOCUS specification, the following examples demonstrate how a *commitment discount* appears across various payment and usage scenarios. -### Purchase Rows +### Purchase *Rows* -All commitment discount purchases appear with a positive `BilledCost`, `PricingCategory` as "Committed", and the commitment discount's id populating both the `ResourceId` and `CommitmentDiscountId` value. Upfront purchases appear as a single record also with `ChargeCategory` as "Purchase", `ChargeFrequency` as "One-Time", and the total quantity and units for commitment discount's term as `CommitmentDiscountQuantity` and `CommitmentDiscountUnit`, respectively. +All *commitment discount* purchases appear with a positive [BilledCost](#billedcost), [PricingCategory](#pricingcategory) as "Standard", and with the *commitment discount's* id populating both the [ResourceId](#resourceid) and [CommitmentDiscountId](#commitmentdiscountid) value. One-time purchases appear as a single record with [ChargeCategory](#chargecategory) as "Purchase", [ChargeFrequency](#chargefrequency) as "One-Time", and the total quantity and units for *commitment discount's* *term* reflected as [CommitmentDiscountQuantity](#commitmentdiscountquantity) and CommitmentDiscountUnit, respectively. -Recurring purchases are allocated across all corresponding charge periods of the term when `ChargeCategory` is "Purchase", `ChargeFrequency` is "Recurring", and `CommitmentDiscountQuantity` and `CommitmentDiscountUnit` are reflected only for that charge period. +Recurring purchases are allocated across all corresponding *charge periods* of the *term* when ChargeCategory is "Purchase", ChargeFrequency is "Recurring", and CommitmentDiscountQuantity and CommitmentDiscountUnit are reflected only for that *charge period*. -Using the same commitment discount example as above, a one-year, spend-based commitment discount with a $1.00 hourly commitment purchased on Jan 1, 2023, various purchase options can occur: +Using the same *commitment discount* example as above with a one-year, spend-based *commitment discount* with a $1.00 hourly commit purchased on Jan 1, 2023, various purchase options are available: -#### Scenario #1: Upfront +#### Scenario #1: All Upfront -The entire commitment is billed _once_ during the first charge period of the term for $8,670 (derived as `24 hours * 365 days * $1.00`). +The entire *commitment discount* is billed _once_ during the first *charge period* of the *term* for $8,670 (derived as `24 hours * 365 days * $1.00`). ```json [ @@ -50,7 +50,7 @@ The entire commitment is billed _once_ during the first charge period of the ter "ChargePeriodEndDate": "2024-01-01T00:00:00Z", "ChargeCategory": "Purchase", "ChargeFrequency": "One-Time", - "PricingCategory": "Committed", + "PricingCategory": "Standard", "ResourceId": "", "BilledCost": 8760.00, "EffectiveCost": 0.00, @@ -61,9 +61,9 @@ The entire commitment is billed _once_ during the first charge period of the ter ] ``` -#### Scenario #2: Recurring +#### Scenario #2: No Upfront -The commitment is billed across all 8,760 charge periods of the term with $1.00 allocated to each charge period over the term. +The *commitment discount* is billed across all 8,760 (`24 hours * 365 days`) *charge periods* of the *term* with $1.00 allocated to each *charge period* over the *term*. ```json [ @@ -74,7 +74,7 @@ The commitment is billed across all 8,760 charge periods of the term with $1.00 "ChargePeriodEndDate": "2023-01-01T01:00:00Z", "ChargeCategory": "Purchase", "ChargeFrequency": "Recurring", - "PricingCategory": "Committed", + "PricingCategory": "Standard", "ResourceId": "", "BilledCost": 1.00, "EffectiveCost": 0.00, @@ -83,13 +83,13 @@ The commitment is billed across all 8,760 charge periods of the term with $1.00 "CommitmentDiscountUnit": "USD" }, - /* ... 743 more recurring purchase records for the billing period ... */ + /* ... 8,759 more recurring purchase records for the *term* ... */ ] ``` -#### Scenario #3: Hybrid +#### Scenario #3: Partial Upfront -With a 50/50 split, half of the commitment is billed _once_ during the first charge period of the term for $4,380 (derived as `24 hours * 182.5 days * $1.00`), and the other half is billed across each charge period over the term, derived as (`$1.00 * 8,760 hours * 0.5`). Amortized costs incur half of the amount (i.e. $0.50) from the upfront purchase and the other half from the recurring purchase. +With a 50/50 split, half of the commitment is billed _once_ during the first *charge period* of the *term* for $4,380 (derived as `24 hours * 182.5 days * $1.00`), and the other half is billed across each *charge period* over the term, derived as (`$1.00 * 8,760 hours * 0.5`). Amortized costs incur half of the amount (i.e. $0.50) from the one-time purchase and the other half from the recurring purchase. ```json [ @@ -100,7 +100,7 @@ With a 50/50 split, half of the commitment is billed _once_ during the first cha "ChargePeriodEndDate": "2024-01-01T00:00:00Z", "ChargeCategory": "Purchase", "ChargeFrequency": "One-Time", - "PricingCategory": "Committed", + "PricingCategory": "Standard", "ResourceId": "", "BilledCost": 4380.00, "EffectiveCost": 0.00, @@ -115,7 +115,7 @@ With a 50/50 split, half of the commitment is billed _once_ during the first cha "ChargePeriodEndDate": "2023-01-01T01:00:00Z", "ChargeCategory": "Purchase", "ChargeFrequency": "Recurring", - "PricingCategory": "Committed", + "PricingCategory": "Standard", "ResourceId": "", "BilledCost": 0.50, "EffectiveCost": 0.00, @@ -124,22 +124,22 @@ With a 50/50 split, half of the commitment is billed _once_ during the first cha "CommitmentDiscountUnit": "USD" }, - /* ... 743 more recurring purchase records for the billing period ... */ + /* ... 8,759 more recurring purchase records for the *term* ... */ ] ``` -### Usage Rows +### Usage *Rows* -Amortization of commitment discounts occur the same way regardless of how one or more purchases are made. The same usage-based or spend-based amount is applied evenly across all charge periods and potentially allocated to eligible resources. Continuing with the same commitment discount example, a one-year, spend-based commitment discount with a $1.00 hourly commitment, and 1 resource, 4 types of scenarios can occur during a charge period: +*Amortization* of *commitment discounts* occur similarly regardless of how *commitment discount* purchases are made. The same usage-based or spend-based amount is applied evenly across all *charge periods* and potentially allocated to eligible *resources*. Continuing with the same *commitment discount* example, a one-year, spend-based *commitment discount* with a $1.00 hourly commit and 1 *resource* (for simplicity) yields 4 types of scenarios that can occur during a *charge period*: -* Scenario #1: Eligible resource(s) runs for $1.00 (100% utilization) -* Scenario #2: No eligible resources run (0% utilization) -* Scenario #3: Eligible resource(s) runs for $0.75 (75% utilization) -* Scenario #4: Eligible resource(s) runs for over the $1.00 hourly commitment (100% utilization + overage) +* Scenario #1: An eligible *resource* fully consumes the allocated amount (100% utilization) +* Scenario #2: No eligible *resource* consumes the allocated amount (0% utilization) +* Scenario #3: An eligible *resource* partially consumes the allocated amount (75% utilization) +* Scenario #4: An eligible *resource* fully consumes the $1.00 hourly commit with an overage (100% utilization + overage) -#### Scenario #1: Eligible resource(s) runs for $1.00 (100% utilization) +#### Scenario #1: An eligible *resource* fully consumes the allocated amount (100% utilization) -In this scenario, one eligible resource runs for the full hour, so one row allocated to the resource is produced. +In this scenario, one eligible *resource* runs for the full hour and consumes $1.00, so one *row* allocated to the *resource* is produced. ```json [ @@ -164,9 +164,9 @@ In this scenario, one eligible resource runs for the full hour, so one row alloc ] ``` -#### Scenario #2: No eligible resources run (0% utilization) +#### Scenario #2: No eligible *resource* consumes the allocated amount (0% utilization) -In this scenario, the entire, eligible amount was unused, so one unused row, allocated to the commitment discount, was produced. Most notably, ConsumedQuantity and ConsumedUnit are null while CommitmentDiscountQuantity is not because $1 was still drawn down by the commitment discount even though it was not consumed by a resource. +In this situation, the full eligible, $1.00 amount remained unutilized and results in 1 unused *row*. In this scenario, it is important to note that while CommitmentDiscountQuantity is not because $1 was still drawn down by the *commitment discount* even though, no *resource* was allocated, so [ConsumedQuantity](#consumedquantity) and [ConsumedUnit](#consumedunit) are null. ```json [ @@ -191,9 +191,9 @@ In this scenario, the entire, eligible amount was unused, so one unused row, all ] ``` -#### Scenario #3: Eligible resource(s) runs for $0.75 (75% utilization) +#### Scenario #3: An eligible *resource* partially consumes the allocated amount (75% utilization) -In this scenario, one eligible resource runs for the full hour. One row shows $0.75 to a resource, and the other shows that $0.25 remained unused. +In this scenario, one eligible *resource* runs for the full hour and consumes $0.75 of the $1.00 allocation. One *row* shows $0.75 to a *resource*, and the other *row* shows that $0.25 was unused. ```json [ @@ -236,9 +236,9 @@ In this scenario, one eligible resource runs for the full hour. One row shows $0 ] ``` -#### Scenario #4: Eligible resource(s) runs for over the $1.00 hourly commitment (100% utilization + overage) +#### Scenario #4: An eligible *resource* fully consumes the $1.00 hourly commit with an overage (100% utilization + overage) -In this scenario, one eligible resource runs for the full hour and costs $1.50. One row shows that $1.00 was amortized from the commitment discount, and the other shows that $0.50 was charged as standard, on-demand spend. +In this scenario, one eligible *resource* runs for the full hour and is charged $1.50. One *row* shows that $1.00 was *amortized* from the *commitment discount*, and the other shows that $0.50 was charged as standard, on-demand spend. ```json [