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Missing Shared Scope Configuration for Azure Reservations
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Missing Shared Scope Configuration for Azure Reservations
Jeffrey Wang
Service Category
Compute
Cloud Provider
Azure
Service Name
Azure Reservations
Inefficiency Type
Suboptimal Configuration
Explanation

When reservations are scoped only to a single subscription, any unused capacity cannot be applied to matching resources in other subscriptions within the same tenant. This leads to underutilization of the committed reservation and continued on-demand charges in other parts of the organization. Enabling **Shared scope** allows all eligible subscriptions to consume the reservation benefit, improving utilization and reducing overall spend. This is particularly impactful in environments with decentralized provisioning, such as across dev/test/prod subscriptions or multiple business units.

Relevant Billing Model

Prepaid commitment for reserved capacity (hourly usage covered by reservation, regardless of whether resource is provisioned)

Detection
  • Check for reservations that consistently show low utilization over a representative time window
  • Evaluate whether matching on-demand resources exist in other subscriptions within the same tenant
  • Assess whether the reservation scope is currently set to 'Single' rather than 'Shared'
  • Determine if usage patterns across subscriptions are dynamic or uneven, which would benefit from shared scope flexibility
Remediation
  • Change reservation scope from *Single* to *Shared* in the Azure Portal or via API
  • Reevaluate periodically to ensure the scope aligns with current organizational structure and usage distribution
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