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EDU-3149: Updates wording for Volume-based tier pricing
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Source of truth Tomas Lorinc

Needs sign-off for wording changes beyond suggested wording
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fairlydurable committed Sep 9, 2024
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134 changes: 114 additions & 20 deletions docs/evaluate/temporal-cloud/pricing.mdx
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Expand Up @@ -35,44 +35,96 @@ It is flexible, transparent, and predictable so you know your costs and never pa

This page introduces the elements of Temporal Cloud pricing for [actions](#action), [storage](#storage), and [services/support](#support).
It gives you the information you need to estimate costs for your implementation.
For more accurate estimates, [reach out to our team](https://pages.temporal.io/contact-us). Once you have an account, you can view your cost and billing details in the account directly. For more information, view [Billing and Cost](/cloud/billing-and-cost).
For more exact estimates, [reach out to our team](https://pages.temporal.io/contact-us). Once you have an account, you can view your cost and billing details in the account directly. For more information, view [Billing and Cost](/cloud/billing-and-cost).

## Action pricing {#action}

**What is an Action?**
**What's an Action?**

Actions serve as the primary unit of consumption-based pricing for Temporal Cloud.
Temporal Actions are the building blocks for Workflow Executions.
When you execute a Temporal Workflow, its Actions create the ongoing state and progress of your Temporal Application.

Actions are collected and billed monthly for each Namespace.
The base rate is $25 per one million Actions per month (across all Namespaces).
The base rate is $25 per one million Actions per month.
This rate applies across all Namespaces.
You will be billed for a prorated portion of the Actions you use.
If you use fewer than one million Actions per month, your bill for Actions will be less than $25 for that month.

| Actions | $25 per one million (prorated) |
| ------- | ---------------------------------- |

Temporal Cloud also offers a credit system.
### Credit System {#credit-system}

**How does Temporal Cloud's credit system work?**

Temporal Cloud offers a credit system.
Credits provide an additional discount schedule for billable Actions and [storage](#storage).
Credits do not expire.

The credits applied to a Temporal Cloud Account include volume-based discounts for each Namespace.
Pricing may not be uniform per Namespace.
For example, under one credit commitment, a Namespace may use up to 300 million Actions priced at $23.25 per million Actions.
Another Namespace with over 300 million Actions benefits from a reduced rate of $18.80 per million Actions for any Actions beyond the 300 million mark.

The following table outlines the tiers for the credits system:
Credits applied to a Temporal Cloud Account unlock volume-based discounts.
Discounts are applied separately to each Namespace so pricing may not be uniform between Namespaces. This table shows our credit tiers and thresholds:

| Actions (Per Million Actions per Namespace) | Cost |
| ------------------------------------------- | ---------- |
| Up to 300M | $23.25 |
| Over 300M up to 1.5B | $18.80 |
| Over 1.5B up to 7.5B | $14.10 |
| Over 7.5B up to 30B | $10.50 |
| Over 30B up to 150B | $7.90 |
|---------------------------------------------|------------|
| First 300M Actions | $23.25 |
| Over 1.2B up to 1.5B | $18.80 |
| Over 6B up to 7.5B | $14.10 |
| Over 22.5B up to 30B | $10.50 |
| Over 120B up to 150B | $7.90 |
| Over 150B | $5.90 |

### Calculating Action costs

**How does tiered invoicing work?**

Consider an account eligible for volume discounts that uses two Namespaces.
In this example, one Namespace consumed 100 million Actions in a calendar month and one consumed 500 million Actions during the same month.
Here's how the billing works for these two Namespaces and across tiers:

- The first Namespace using 100 million Actions is billed at the $23.25 per million Actions tier, a $2,325 invoice line item.

```
100M Actions ⨉ $23.25 per million Actions = $2,325 (Namespace total)
```

- The second Namespace with 500 million Actions is billed as follows:
- The first 300 million Actions are billed at the $23.25 Actions tier.

```
300M Actions ⨉ $23.25 per million Actions = $6,975
```

- The remaining 200 million Actions are billed at the $18.80 per million Actions tier.

```
200M Actions ⨉ $18.80 per million Actions = $3,760
```

Calculating the invoice line item for the second Namespace:

```
$6,975 (300M Actions) + $3,760 (200M Actions) = $10,735 (Namespace total)
```

- The account would be charged a total of $13,060 for the month:

```
$2,325 for the first Namespace + $10,735 for the second Namespace = $13,060 (invoice total)
```

If you have additional questions about credits and volume-based discounts, please see our [Services and Support](https://docs.temporal.io/cloud/support) page or reach out to [our team](https://pages.temporal.io/contact-us).

:::note

Read more about billing cycles, invoices, and payments on our [Billing and cost](/cloud/billing-and-cost) page.

:::

### Actions and operations {#action-and-operations}

**How are Actions counted?**

The following operations result in Actions:

**Workflows**
Expand Down Expand Up @@ -122,7 +174,7 @@ The following operations result in Actions:
**Schedules**

[Schedules](/workflows#schedule) allows you to "schedule" a Workflow to start at a particular time.
Each execution of a Schedule will accrue three actions:
Each execution of a Schedule accrues three actions:

- **Schedule Start**.
This accounts for two actions.
Expand Down Expand Up @@ -162,6 +214,7 @@ Both kinds of storage have fixed costs.
| Active | $0.042 |

If you purchase Temporal Cloud credits (as [outlined earlier](#action)), active storage costs are tiered and measured in gigabyte-hours.
Like Action pricing, each storage tier applies per Namespace.

| **Active Storage (Per GB Hour Per Namespace)** | **Cost (USD)** |
| ---------------------------------------------- | -------------- |
Expand All @@ -172,7 +225,46 @@ If you purchase Temporal Cloud credits (as [outlined earlier](#action)), active
| Over 400,000 up to 1,500,000 | $0.013 |
| Over 1,500,000 | $0.010 |

## Multi-region Namespace pricing {#multi-region}
### Calculating Storage costs

**How does tiered invoicing work?**

Consider an account eligible for volume discounts that uses two Namespaces.
In this example, one Namespace used 5000 GBh of active storage during a calendar month.
A second used 14000 GBh of Active Storage during the same calendar month.
Here's how Active Storage will be billed for these two Namespaces:

- The first Namespace is charged entirely at the $0.039 tier:

```
5000 GBh ⨉ $0.039 per GBh = $117 (total Active Storage cost for first Namespace)
```

- The second Namespace is charged at the $0.039 tier for the first 7000 GBh, and at the $0.031 tier for the remaining 7000 GBh.

```
7000 GBh ⨉ $0.039 per GBh = $273
7000 GBh ⨉ $0.031 per GBh = $217
$273 + $217 = $490 (total Active Storage cost for second Namespace)
```

- The account would be charged $753 for the month:

```
$273 for Namespace 1 + $490 for Namespace 2 = $753 Active Storage cost
```

If you have additional questions about credits and volume-based discounts, please see our [Services and Support](https://docs.temporal.io/cloud/support) page or reach out to [our team](https://pages.temporal.io/contact-us).

:::note

Read more about billing cycles, invoices, and payments on our [Billing and cost](/cloud/billing-and-cost) page.

:::

## Multi-region Namespace (MRN) pricing {#multi-region}

**How does MRN costs work?**

For workloads with stringent high-availability requirements, Temporal Cloud provides multi-region Namespaces (MRNs), which add a failover capability.
Each multi-region Namespace automatically replicates Workflow Execution data and metadata to a standby region.
Expand Down Expand Up @@ -206,6 +298,8 @@ It breaks out storage and replicated storage into their own line items.

## SSO and SAML pricing {#sso-and-saml}

**What costs are associated with SSO/SAML use?**

We offer single sign-on (SSO) integration using SAML at a monthly fixed fee based on the number of users registered in Temporal Cloud:

| **Users** | **Cost per month** |
Expand Down Expand Up @@ -233,7 +327,7 @@ A more complete description of each level can be found on our [Services and Supp
| ------------------- | ------------------------------------------- | --------------------------------------------- |
| Pricing (per month) | Greater of $200 or 10% of monthly usage | Greater of $2,000 or 10% of monthly usage |

## Pricing Estimates
## Pricing Estimates {#pricing-estimates}

Temporal Cloud uses a consumption-based pricing model based primarily on Actions and storage.
Each workload is different.
Expand Down Expand Up @@ -272,7 +366,7 @@ You can purchase Temporal Cloud credits by contacting our team at [sales@tempora

The Temporal Cloud service is consumption-based.
You pay only for what you need with no minimum usage requirement.
Basic support has a monthly fee starting from $200.
Basic support has a monthly fee starting from $200.

**Can I purchase Temporal Cloud through my Amazon, Azure, or Google Cloud Platform marketplace?**

Expand Down

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