Comment by manquer

Yes; larger discounts with more commits, you also get some price guarantees on SKUs quite valuable these days and other benefits - like say premium support, architecture guidance, access to product teams and so forth.

Self-service retail buyers of cloud have access to some of these price advantages as well, 1-3 Year reservations(even paid monthly) are 40% cheaper of the bat after all. PAYG with fluctuating usage is quite more expensive than committed consumption for cloud.