AWS vs Azure vs GCP Calculator
Which cloud is cheapest?
Compare AWS vs Azure vs GCP annual costs with reserved instance discounts factored — see which hyperscaler wins at your usage mix.
What this tool does
This tool compares annual cloud spend across AWS, Azure, and GCP by projecting monthly costs over twelve months. Enter your current monthly billing for each platform, and the calculator estimates your annual spend in local terms. You can also apply a reserved instance discount percentage to model reduced rates across any or all providers. The output shows each platform's projected yearly cost and identifies which offers the lowest total. The result assumes consistent monthly spending throughout the year and that applied discounts remain constant. This comparison is useful for evaluating cost differences between providers based on your current usage patterns, though actual costs may vary depending on service mix, regional pricing, usage fluctuations, and negotiated rates.
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Formula Used
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Disclaimer
Results are estimates for educational purposes only. They do not constitute financial advice. Consult a qualified professional before making financial decisions.
Cloud platforms price similarly but differ on specific services. This calculator compares annual cost across AWS, Azure, and GCP with optional discount (reserved instances, commitment deals).
2,000/mo AWS vs 1,800 Azure vs 1,900 GCP at 20% reserved discount: AWS 19,200, Azure 17,280, GCP 18,240. Azure cheapest by 1,920 annually.
Pricing differences depend heavily on actual workload. Reserved instances cut costs 30-60% vs on-demand but require commitment. Multi-year deals save more but lock in longer.
Run it with sensible defaults
Using aws monthly of 2,000, azure monthly of 1,800, gcp monthly of 1,900, reserved discount of 20%, the calculation works out to 17,280.00. The defaults are meant as a starting point, not a recommendation.
The levers in this calculation
The inputs — AWS Monthly, Azure Monthly, GCP Monthly, and Reserved Discount % — do not pull with equal force. Two inputs usually tip the answer one way or the other. Identify which ones matter most by flipping each value past a round threshold and watching whether the option with the lower calculated total changes.
How the math works
Each annual = monthly × 12 × (1 - discount). Cheapest identified.
Using this as a check-in
Re-run this every three months. A single reading tells you where you stand; four readings tell you whether things are improving. The trend matters more than any individual snapshot.
What this doesn't capture
The score is a composite of the inputs you provide. Life context — job security, family obligations, health, housing — doesn't appear in the math but shapes the real picture. Use the number as a prompt, not a verdict.
Worked example
A team runs production workloads across three platforms. AWS monthly billing sits at 3,500 for compute and storage. Azure is 2,800 monthly for similar services. GCP is 3,100 monthly.
Without discounts, annual costs are AWS 42,000, Azure 33,600, GCP 37,200. Azure leads by 8,400 per year.
The team then commits to a three-year reserved instance agreement, securing a 25% discount across all three providers. New annual totals: AWS 31,500, Azure 25,200, GCP 27,900. Azure remains lowest, now ahead by 6,300 annually.
The ranking (Azure first, GCP second, AWS third) stayed the same, but the absolute gap narrowed because all three platforms offer similar discount rates on reserved commitments.
When this comparison matters
- Evaluating a multi-cloud strategy where workloads run across more than one provider
- Consolidating vendors to reduce operational overhead and focus spend on one platform
- Modeling the financial impact of moving workloads from on-demand to reserved or commitment pricing
- Tracking spending trends over consecutive quarters to identify cost drift
- Negotiating volume discounts with vendors by showing annual projections
What the result shows and does not show
The calculator illustrates annual spend based on current monthly burn rate and a uniform discount rate. It does not account for:
- Service-level differences in performance, availability, or compliance certifications
- Data transfer costs, which vary significantly by provider and geography
- License portability or vendor lock-in effects
- Team familiarity, training time, or operational labor
- Future price changes from any provider
- Free tier eligibility or startup credits
Use this figure as one input in a broader cost and capability review, not as the sole decision factor.
Educational illustration
This calculator models spending patterns for learning purposes. Results are estimates based on constant monthly costs and a single discount percentage applied uniformly. Actual annual spend may differ based on usage fluctuations, regional pricing variations, and terms negotiated with each provider.
AWS ££2,000 vs Azure ££1,800 vs GCP ££1,900 at 20% discount = 17,280.00.
Inputs
This example uses typical values for illustration. Adjust the inputs above to match a specific situation and see how the result changes.
Sources & Methodology
Methodology
This calculator computes annual cloud costs by taking each provider's monthly spend, multiplying by 12 months, then applying a reserved instance discount expressed as a percentage reduction. The formula treats the discount as a simple linear deduction from the annual total: Annual Cost = Monthly Cost × 12 × (1 − Discount% ÷ 100). The calculator then identifies which provider yields the lowest resulting figure. The model assumes the monthly spend remains constant across all 12 months and that the reserved discount applies uniformly to the entire annual bill. It does not account for variable usage patterns, tiered pricing, differences in service scope between providers, on-demand premium costs, commitment term length variations, or additional fees such as data transfer or support charges.
References
Frequently Asked Questions
Switching cloud providers?
Why does applying the same discount percentage produce different savings across providers?
What costs are not captured in this calculator?
How do I account for using multiple cloud providers simultaneously?
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