Understanding Rackspace SDDC Flex billing

This chapter provides an overview of Rackspace SDDC Flex billing.

Minimum spend commitment

Rackspace SDDC Flex requires a minimum spend commitment executed through a service order. The following list provides a glossary of terms and definitions:

  • Minimum spend commitment: The minimum amount of money you commit to spending each month. $2500 per month is the lowest spend commitment available.
  • Contract term: The length of your contract with Rackspace Technology can be month-to-month, or 12, 24, or 36 months.
  • True-up interval: We true-up your charges on a monthly basis. At the end of each month, we calculate your actual spend for license fees, compute, storage, and network resources. We also include any add-on services you might have purchased and compare that amount with your minimum spend amount.
    • At the end of a month, if you do not reach your minimum spend commitment, we charge a true-up fee that brings your invoice up to the minimum spend amount.
    • At the end of a month, if you exceed your minimum spend commitment, we apply your discount, if applicable, to the entire monthly spend amount.
  • Discount: For 12-, 24-, and 36-month terms, if for any month during your contract, you spend more than your minimum commitment, you receive a discount on the entire monthly amount that aligns with the length of your contract.

Billing example

  • Minimum monthly spend commitment: $2500.
  • Term: 24 months
  • Discount amount: 2%
MonthActual monthly spendDiscount appliedTrue-up amountMonthly invoice.
1$1250$0$1250$2500
2$2150$0$350$2500
3$5675$114$0$5562
4$7500$150$0$7350
5$4900$98$0$4802
6$6225$125$0$6101
7$5000$100$0$4900
8$9800$196$0$9604
9$4250$85$0$4165
10$6575$132$0$6444
11$5175$104$0$5072
12$8575$172$0$8404
Totals$67,075$1274$1600$67,402

VM actions that affect billing

The following table lists VM actions and their impact on billing:

VM actionImpact on Pay-as-You-Go
Create a VMStorage billing begins immediately. Compute charges begin when you power on the VM.
Power on a VMYou incur compute and storage charges.
Power off a VMYou do not incur compute charges, but you do incur storage charges.
Shut down the guest OSYou do not incur compute charges, but you do incur storage charges.
Suspend a VMYou do not incur compute charges, but you do incur storage charges.
Assign a public IPNo impact on billing.
Resize VMCompute resource billing changes.
Resize or add a vDiskStorage billing changes.
Apply a different storage policyStorage billing changes.
Create a VDCNo impact on billing.
Create a userNo impact on billing.

Pay-as-You-Go Resources

Pay-as-you-go resources are available in an on-demand pay-as-you-go allocation model with no upfront resource allocation. We bill you in arrears only for what you use, so this allocation model is ideal for highly seasonal, variable, transient workloads.

The pay-as-you-go allocation model includes the following:

  • Multi-tenant compute resources
  • Predefined VM sizing policies
  • Rackspace SDDC Flex commits resources to the VM when you create the VM in the Organization VDC.
  • Pay-as-you-go pricing includes compute infrastructure and Platform Support.

Cost of VM resources

  • If you are a Rackspace customer and want to know the rates we charge for compute, networking, and storage resources, contact your Customer Success Manager.
  • If you are a prospective customer and want to know the rates we charge for compute, networking, and storage resources, contact our Sales Team or call Sales at 1-800-961-2888.

Frequently Asked Questions

This section provides a list of commonly asked billing questions and answers:

Question: Do I pay extra for the hypervisors that run my VMs?

Answer: There is no extra charge for the hypervisors. The cost of the VM includes all the compute infrastructure.

Question: If I have one large VM or two VMs that use half as many resources each, is there a difference in how much I pay?

Answer: For pay-as-you-go, the amount you pay depends on the sizing policy you select when you create a VM.

Question: Do you offer OS support for the VMs?

Answer: OS support for VMs is not available currently. In the future, we plan to provide OS support as an add-on service offering.

Question: Do I have to pay for the VMs if I’m not using them?

Answer: You pay for any allocated storage regardless of whether the VMs are powered off or on. You pay for the compute resources (CPU, RAM) only when the VM is running.

Question: Do you charge extra for vApps?

Answer: No, vApps are free of charge.