How Sustained use discounts works for compute engine

Need clarity on below scenario’s :

a) I have a data proc cluster which runs only 90min daily and we START and STOP the same cluster every day during that 90min window. Will this eligible for SUDs ?

b) In the same scenario if we create a cluster and use it for 90min and then delete it immediately. If we do the similar way every day, Will it be eligible for SUDs ?

c) I have a cluster with name test-yyyy-mm-dd which we create every day and run it for 90 min and delete it on the same day. But in the billing i don’t see SUDs in this case?

Hi @Abhisai,

According to the official documentation, Compute Engine provides sustained use discounts (SUDs) when resources are used for more than 25% of a billing month. This means you need to meet the 25% usage threshold to qualify for the discount.

In your scenario, based on the calculation [VM hours used ÷ total hours in a month × 100 = usage time], I get: 45 ÷ 720 × 100 = 6.25% usage time for the month.

Since this is below the required 25% threshold, the resource is not eligible for a sustained use discount. Also, review the following eligible resources and their limitations.

Regarding your billing concern, Compute Engine automatically calculates and applies SUDs to eligible resource usage within a Cloud Billing account, so you don’t need to take any action to enable these discounts.