The Azure MACC negotiation guide

A Microsoft Azure Consumption Commitment trades a multi year spend commitment for enterprise pricing, but its shortfall clause means any unspent commitment is still owed. This white paper shows how to size a MACC to a defensible forecast, manage drawdown so cost cutting does not trigger a shortfall, and negotiate the commitment from the buyer side.

A MACC is a contractual commitment to consume a set dollar amount of Azure services over a multi year term, in exchange for an enterprise discount tier and access to private pricing. Eligible first party Azure consumption draws down the commitment. The risk sits entirely with the buyer: if consumption falls short of the committed amount by the end of the term, the shortfall is billed anyway. That single clause is why a savings program and a MACC must be planned together.

An aggressive optimization program can save you into a penalty. If you commit to a number set before the savings, then cut consumption below it, you pay the gap.