Last updated: May 2026
Azure Storage Beginner AZ-104 ⏱ 11 min read

Azure Storage Pricing

Azure Storage is one of the cheapest Azure services — storing 1 TB of data can cost as little as ₹1,000–2,000 per month. But storage bills can grow unexpectedly if you don't understand all the cost components. Data egress, transactions, and the wrong tier choice can multiply your costs. This page covers everything you pay for and how to minimise it.

What you'll learn All storage cost components · Blob tier pricing comparison · Redundancy cost impact · Transaction costs · Data egress costs · File share and queue pricing · Real-world cost examples · Top 8 cost-saving tips · Using the Azure Pricing Calculator for storage

Storage Cost Components

Azure Storage billing has several components — understanding all of them prevents bill shock:

ComponentWhat It IsBilled How
CapacityHow much data you storePer GB per month
TransactionsAPI calls — reads, writes, lists, deletesPer 10,000 operations
Data retrievalReading data from Cool/Cold/Archive tiersPer GB retrieved
Data egressOutbound data to internet or other regionsPer GB (first 15 GB/month free)
Early deletionDeleting/moving data before minimum retention periodPer GB for remaining days
RehydrationRetrieving data from Archive tierPer GB rehydrated
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Inbound is Free Data uploaded TO Azure Storage (inbound/ingress) is always free. You only pay for outbound data (egress) going from Azure to the internet or to other regions.

Blob Storage Pricing by Tier

Approximate prices for Blob Storage in Central India (Standard LRS, pay-as-you-go):

TierStorage/GB/MonthRead Cost/GBWrite Cost/10K ops
Hot~₹1.60Free~₹4.20
Cool~₹0.90~₹0.85/GB~₹1.05
Cold~₹0.36~₹2.50/GB~₹1.05
Archive~₹0.17~₹17/GB (std) or ₹60/GB (high)~₹5.25
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The Trade-Off Archive stores data at ~1/10 the cost of Hot, but reads cost ~17x more per GB. For data that's never read, Archive saves massively. For data read occasionally, do the maths — at high read volume, Hot can be cheaper overall.

Redundancy Cost Impact

Redundancy option significantly affects your storage cost. Approximate multipliers vs LRS:

RedundancyCost vs LRSExample: 1 TB Hot
LRS1x (baseline)~₹1,600/month
ZRS~1.25x~₹2,000/month
GRS~2x~₹3,200/month
GZRS~2.5x~₹4,000/month

Transaction Costs

Every API call to Azure Storage costs a small amount. For high-volume applications, transaction costs can exceed storage capacity costs.

Operation TypeHot Tier (per 10K)Cool Tier (per 10K)
Write operations (PUT, POST)~₹4.20~₹1.05
Read operations (GET)~₹0.34~₹0.85
List operations~₹4.20~₹1.05
Delete operationsFreeFree
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Watch Out for Listing Operations List operations (listing blobs in a container) are charged at the same rate as write operations. If your application lists containers frequently, this can add up quickly. Cache directory listings in your application rather than calling list repeatedly.

Data Egress Costs

Outbound data from Azure Storage to the internet:

  • First 15 GB/month: Free
  • 15 GB – 10 TB/month: ~₹6/GB
  • Next 40 TB: ~₹5.50/GB

Egress Exemptions (Free)

  • Data transferred between storage accounts in the same region
  • Data read by Azure services in the same region (e.g., an Azure VM reading a blob in the same region)
  • Data transferred to Azure CDN (egress to CDN from storage is free)
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Keep Storage and Compute in the Same Region If your VMs read data from Blob Storage, put both in the same region. Egress within the same region is free. Cross-region egress costs ₹6/GB+.

File Share and Queue Pricing

Azure File Storage

  • Standard (Transaction Optimised): ~₹0.80/GB/month
  • Standard (Hot): ~₹0.60/GB/month
  • Standard (Cool): ~₹0.20/GB/month
  • Premium SSD: ~₹6.30/GB provisioned/month

Queue Storage

  • Storage: ~₹0.04/GB/month (very cheap — messages are tiny)
  • Operations: ~₹0.034/10,000 operations

Table Storage

  • Storage: ~₹0.72/GB/month
  • Operations: ~₹0.034/10,000 operations

Real-World Cost Examples

Example 1 — Small Web Application

ComponentUsageMonthly Cost
Blob storage (images, assets)50 GB Hot, LRS~₹80
Blob transactions5 million reads/month~₹170
Egress100 GB to internet~₹510
Total~₹760/month

Example 2 — Backup Solution

ComponentUsageMonthly Cost
Recent backups (30 days)500 GB Cool, LRS~₹450
Archive (7 years)5 TB Archive, LRS~₹870
TransactionsLow (backup write once)~₹50
Total~₹1,370/month

Top 8 Cost-Saving Tips

1. Use the Right Tier

Don't store infrequently accessed data in Hot tier. Use lifecycle management to automate tier transitions.

2. Use Lifecycle Management

Automate transitions from Hot → Cool → Archive → Delete based on age. Saves money continuously without manual work.

3. Delete Unused Data

Run regular audits to find orphaned blobs, old snapshots, and unused containers. Azure Advisor can help identify waste.

4. Use LRS for Non-Critical Data

Dev/test environments and easily reconstructed data don't need GRS. LRS saves ~50% vs GRS.

5. Keep Storage and Compute in the Same Region

Eliminates cross-region egress costs (₹6+/GB).

6. Use Azure CDN for Public Content

CDN cache hits don't cost storage egress. Dramatically reduces egress for popular content.

7. Enable Blob Soft Delete Carefully

Soft delete is great for recovery but retains deleted blobs, adding to storage costs. Set a short retention period for non-critical data.

8. Monitor with Azure Cost Analysis

Set up Azure Cost Management budgets and alerts. Regular reviews prevent bill surprises.

Using the Pricing Calculator

Always estimate costs before deploying at azure.microsoft.com/pricing/calculator. For storage:

  • Select Storage Accounts
  • Choose region (Central India)
  • Select storage type (Block Blob, File Storage, etc.)
  • Choose redundancy tier
  • Enter estimated capacity (GB), transactions, and egress
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AZ-104 Exam Tip Know that inbound data is free, outbound egress is charged. Know that transaction costs vary by tier — Cool/Archive have higher read costs per operation. Know that egress within the same region is free. Know that lifecycle management reduces costs by automating tier transitions.
📝 Practice Questions
Click an option to check your answer. AZ-104 style questions.
Q1. Which data transfer scenario incurs no egress charges in Azure Storage?
A Transferring data from Blob Storage to users in Europe
B An Azure VM reading data from a Blob Storage account in the same region
C Transferring data from Central India to UK South storage account
D Uploading data from on-premises to Azure Blob Storage
Q2. A company stores 10 TB of compliance data that is almost never read but must be retained for 7 years. Which approach minimises storage cost?
A Hot tier with GRS redundancy
B Archive tier with LRS redundancy
C Cool tier with ZRS redundancy
D Premium SSD with GZRS redundancy
Q3. Is inbound data transfer (uploading data to Azure Storage) free?
A Yes — inbound data transfer to Azure Storage is always free
B No — inbound transfer is charged at the same rate as egress
C Only free for Hot tier — Cool and Archive charge for inbound
D Free only up to 15 GB/month
Q4. Why might transaction costs exceed storage capacity costs for some applications?
A Because transactions are charged per byte of data processed
B High-frequency API calls (millions of reads/writes/lists per day) accumulate significant transaction fees
C Because large files cost more per transaction
D Because GRS charges double for all transactions
Q5. What is the most cost-effective way to reduce egress costs for a popular website serving images globally from Azure Blob Storage?
A Move images to the Archive tier
B Use Azure CDN — cache hits don't cost storage egress and CDN egress is cheaper
C Switch from GRS to LRS redundancy
D Disable public access on the storage account
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