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What Is Azure Backup?
Azure Backup is a cloud-based backup service providing data protection for organizations. It enables creation, management, and restoration of backups for services in the Azure cloud, including virtual machines (VMs), SQL Server, and Azure file shares. The service is scalable and secure, offering encrypted storage and easy recovery options.
Azure Backup operates across different Azure regions and also supports hybrid environments. It provides automatic storage management, incremental backups, and policy-based management, simplifying the backup process while ensuring data is safeguarded against failures and attacks.
This is part of a series of articles on Azure Backup
In this article:
- Which Workloads Can Be Backed Up by Azure Backup?
- What Affects Azure Backup Pricing?
- Understanding Azure Backup Pricing Per Workload
- Azure Backup Cost Optimization
Which Workloads Can Be Backed Up by Azure Backup?
Azure Backup supports a variety of workloads to ensure comprehensive data protection. These include:
- Azure Virtual Machines (VMs): Back up entire VMs running on Azure, capturing all system states and data.
- SQL Server: Protect SQL Server databases hosted on Azure virtual machines, enabling point-in-time restore capabilities.
- Azure Files: Back up file shares hosted on Azure, allowing for restoration of files and folders.
- Azure Blobs: Protect data stored in Azure Blob Storage, ensuring recoverability of object storage data.
- Azure Database for PostgreSQL: Back up PostgreSQL databases to safeguard structured data.
- SAP HANA: Back up SAP HANA databases hosted on Azure virtual machines, supporting critical enterprise applications.
- On-Premises Machines: Protect on-premises Windows and Linux machines using the Azure Backup agent or the System Center Data Protection Manager (DPM).
- Azure Disks: Protect data stored on Azure Managed Disks attached to VMs, providing consistent backup and recovery.
- Azure Kubernetes Service (AKS): Back up and restore Kubernetes clusters and their persistent volumes, ensuring the protection of containerized applications and data.
Related content: Read our guide to Azure SQL database backup
What Affects Azure Backup Pricing?
Pricing in Azure Backup includes charges for the following components.
Fixed Service Cost
Azure Backup charges a fixed monthly fee for each protected instance, regardless of the amount of data. This cost depends on the type and size of the instance being backed up. For example, the cost is typically higher for SQL Server instances compared to basic file backups due to the additional features and complexity involved.
Storage Space
The amount of data stored and the redundancy option chosen (e.g., Locally Redundant Storage, Geo-Redundant Storage) directly influence costs. Charges are based on the amount of backup data stored after compression and encryption, with different pricing tiers for various storage options. The use of the Archive tier for long-term retention can reduce costs.
Bandwidth
Bandwidth costs may apply when transferring data to and from Azure Backup, particularly for outbound data transfers from Azure to on-premises locations or other cloud services. Inbound data transfers to Azure are generally free. However, it’s important to consider the frequency and volume of backups and restores, which can impact bandwidth charges.
Number of Protected Instances
The number of protected instances, such as virtual machines, databases, and other workloads, affects Azure Backup pricing. Each instance incurs a separate charge based on its size and type. Managing the number of active backups and removing obsolete or unnecessary instances can help control costs.
- Use lifecycle policies for automatic data transitions: Set up lifecycle management policies to automatically transition data to lower-cost storage tiers (like Archive storage) based on usage patterns and access requirements. Automating this helps ensure cost efficiency for infrequently accessed data.
- Monitor snapshots to avoid unexpected costs: Snapshots used for instant restores can accumulate quickly and result in unexpected charges. Regularly monitor and remove unneeded snapshots, as they are stored on premium storage by default and can contribute significantly to storage costs.
- Compress data before backup to reduce storage needs: For on-premises or hybrid backups, compress data before backing it up to Azure. This can reduce the amount of storage consumed and, consequently, lower storage charges, especially for data that can compress well, like text files.
- Schedule backups during off-peak hours to save on bandwidth costs: For hybrid or multi-cloud setups, schedule backups to run during off-peak hours to reduce potential network congestion and avoid premium bandwidth charges, particularly for environments where bandwidth costs are significant.
- Use incremental backup whenever possible: Incremental backups only capture changes since the last backup. This practice minimizes data transfer and storage use, significantly cutting down on both bandwidth and storage costs for dynamic workloads.
Understanding Azure Backup Pricing Per Workload
Azure VMs
Here’s an overview of the pricing model for the different components of Azure Backup.
Backup Pricing for Azure VMs
Pricing for VMs is determined by the size of the backed-up data before compression and encryption. The cost varies based on the size of each protected instance:
- For instances up to 50 GB, the cost is $5 per month plus the storage consumed.
- For instances between 50 GB and 500 GB, the price is $10 per month plus storage.
- For instances larger than 500 GB there is a charge of $10 for each 500 GB increment plus the storage consumed.
For example, an instance with 1.2 TB of data would cost $30 per month plus storage consumed. This charge is calculated as $10 for each of the two 500 GB increments and $10 for the remaining 200 GB.
Backup Storage Pricing
Azure Backup charges for storage in addition to the fixed charge for each VM. Backup data is stored in the Standard tier by default, with options to move long-term retention data to the Archive tier.
The Standard tier offers several redundancy options:
- Locally Redundant Storage (LRS): $0.0224 per GB
- Zone Redundant Storage (ZRS): $0.028 per GB
- Geo-Redundant Storage (GRS): $0.0448 per GB
- Read-Access Geo-Redundant Storage (RA-GRS): $0.0569 per GB
For the Archive tier, the costs are significantly lower:
- LRS: $0.0027 per GB
- GRS/RA-GRS: $0.0054 per GB
Snapshots for instant restores are charged as disk snapshots.
Azure Backup Storage Reserved Capacity Pricing
Azure Backup Storage Reserved Capacity offers significant cost savings for organizations with predictable storage needs. By committing to a one-year or three-year term, businesses can lock in lower prices. However, be aware that reserved capacity is less flexible—once committed, it cannot be reduced or canceled without incurring penalties. Reserved capacity is available in 100 TB and 1 PB increments.
For a one-year reserved term:
- LRS: $24,222 for 100 TB/month, $236,760 for 1 PB/month
- GRS: $48,444 for 100 TB/month, $473,520 for 1 PB/month
- ZRS: $30,278 for 100 TB/month, $295,950 for 1 PB/month
- RA-GRS: $61,528 for 100 TB/month, $601,413 for 1 PB/month
For a three-year reserved term:
- LRS: $66,060 for 100 TB/month, $642,634 for 1 PB/month
- GRS: $132,121 for 100 TB/month, $1,285,269 for 1 PB/month
- ZRS: $82,575 for 100 TB/month, $803,293 for 1 PB/month
- RA-GRS: $167,805 for 100 TB/month, $1,632,406 for 1 PB/month
SQL Server on Azure VMs
Pricing for backing up SQL Server VMs on Azure is determined by the size of the backed-up data before compression and encryption. Pricing for regular backup storage and reserved storage is the same as detailed above for Azure VMs. The cost per instance is as follows:
- Instances up to 500 GB: $30 per month plus the cost of storage consumed.
- Instances larger than 500 GB: $30 for each 500 GB increment plus the cost of storage consumed.
For example, if you have 1.2 TB of data in a single instance, the monthly cost would be $90 plus storage consumed. This is calculated as $30 for each of the two 500 GB increments and $30 for the remaining 200 GB.
SAP HANA in Azure VMs
Pricing for backing up SAP HANA VMs on Azure is determined by the size of the backed-up data before compression and encryption. Pricing for regular backup storage and reserved storage is the same as detailed above for Azure VMs. The cost per instance is as follows:
- For instances up to 500 GB, the cost is $98.94 per month plus the storage consumed.
- For instances larger than 500 GB, the price is $98.94 for each 500 GB increment plus the storage consumed.
For example, if you have 1.2 TB of data in a single instance, the monthly cost would be $296.82 plus the storage consumed. This is calculated as $98.94 for each of the two 500 GB increments and $98.94 for the remaining 200 GB.
Azure Files
Backup for Azure Files is handled through Azure Backup’s Snapshot Management solution, which provides a seamless way to protect Azure Files. The snapshots created are stored within the user’s Storage account, and consequently, they incur snapshot storage charges rather than being moved to a separate Recovery Services Vault.
Azure Backup defines an Azure Files Protected instance as the Storage Account containing the backed-up Azure Files shares. The cost is determined based on the total size of all backed-up Azure File Shares within a Storage Account. Here’s the pricing structure:
- Instances greater than 250 GB: $5 per month
- Instances less than or equal to 250 GB: 60% of the Azure Files Protected Instances price per month
Azure Backup Cost Optimization
Here are some of the ways that organizations can optimize costs in Azure Backup.
1) Optimize Backup Policies
Companies should evaluate their backup frequencies and retention policies to align with their Azure disaster recovery needs. Backing up too much data, or keeping old backups unnecessarily, can lead to unnecessary costs.
Efficient policy management involves understanding the impact of backup schedules on costs and compliance. Regular reviews and adjustments to backup policies help ensure that backup provisions remain cost-effective and functional.
2) Review Backups for Deleted Resources
Regularly reviewing backups for deleted resources can prevent paying for unnecessary storage. Azure Backup charges for all protected instances, regardless of whether the original resource is active or deleted. Identifying and removing backups of obsolete or unused resources can cut costs.
Implementing automated scripts or using Azure policies to flag and review backups for deleted resources can simplify this process. These techniques ensure that backups are consistently relevant to the operational needs of the organization.
3) Reduce Retention Periods
Shortening backup retention periods can significantly decrease costs associated with Azure Backup. Many organizations set overly conservative retention policies, leading to excessive data storage. Aligning retention periods with legal and business requirements can optimize storage utilization and costs.
Regular audits of backup retention policies should be conducted to adapt to changing business needs and regulatory requirements. These adjustments help ensure that storage is not wasted on unnecessary backup retention.
4) Use Azure Archive Storage for Long-Term Retention
For data that needs to be retained for long periods but is rarely accessed, using Azure Archive Storage can be a cost-effective solution. Archive Storage is significantly cheaper than standard storage options and is ideal for backups that are kept for compliance or historical purposes.
Ensure that the data is appropriately classified and moved to Archive Storage based on access patterns and retention requirements. Automating this process through lifecycle management policies can streamline the transition and maintain cost efficiency.
5) Optimize Storage Redundancy Levels
Choosing the right storage redundancy option based on criticality and access needs can impact costs. Azure Backup offers different redundancy levels such as Locally Redundant Storage (LRS) and Geo-Redundant Storage (GRS). LRS is cheaper and may be sufficient for less critical data, whereas GRS provides higher availability and durability at a higher cost.
Evaluate the redundancy requirements of your backups and select the appropriate option. For non-critical data, downgrading from GRS to LRS can yield significant savings without compromising necessary protection levels.
Use N2W for No-Cost, Full-Featured Azure Backup
While Azure Backup offers robust data protection features, organizations looking for enhanced flexibility, additional security options, and better cost control may find significant advantages in using N2W Backup & Recovery for Azure. Here’s why N2W could be the better fit for your backup needs:
Low-cost per VM Azure Backup Pricing (regardless of VM size)
Unlike Azure Backup, which has a non-transparent service cost depending on the size of the VM, N2W has low, fixed service costs.
Efficient Long-term Intelligent Tiering for Azure Backups
Azure Backup also lacks the ability to choose efficient storage tiers. Azure Blob storage is not an option unless you want to implement scripting. N2W leverages optimal Azure Blob storage tiering, giving customers the ability to choose less expensive tiers compared to Azure Backup.
Forecast your Azure Savings
By combining optimal Azure storage tiering pricing with transparent per-VM pricing, customers can save up to 80% which can be forecasted using our online Azure cost savings calculator.
Cross-Cloud from AWS to Azure
N2W enables cross-cloud backup and recovery between AWS and Azure. This feature allows you to create a highly secure backup in—not just a separate account or region, but a separate cloud—for the ultimate data protection.
Immutability
Users can make backups immutable, adding a layer of security by preventing data changes during the retention period. This may help meet various compliance requirements.
Better security
For users who prioritize security and compliance, N2W supports multi-factor authentication (MFA). This feature adds an extra layer of protection to user accounts by requiring a temporary code sent via email or generated by an authenticator app.
Improved scalability
N2W enhances scalability with features like agentless SQL backups using worker instances. This capability allows for efficient backup and recovery of SQL databases, leveraging Azure-native snapshots. The agentless approach improves performance and scalability, ensuring that production databases are regularly backed up and can be swiftly restored.
Understanding Azure Backup pricing and exploring cost optimization strategies are crucial for managing cloud expenses effectively. By tailoring backup policies, leveraging archive storage, and considering third-party solutions like N2W, businesses can significantly cut costs while maintaining robust data protection. Ready to take your backup strategy to the next level?