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Difficulty: MediumAzure Pricing Calculator and TCO Calculator

An organization wants to estimate the monthly consumption costs of a brand-new cloud-native application before deployment. Is it true that they should use the Azure Total Cost of Ownership (TCO) Calculator for this estimate?

Answer: Answer

Answer

The statement is false.
The statement is false because the Azure Pricing Calculator is the correct tool to estimate costs for new Azure services. The TCO Calculator requires an on-premises infrastructure baseline to calculate potential savings from migration.

Step-by-Step Solution

1
Analyze the requirement in the scenario.
The requirement is to estimate the monthly consumption costs of a brand-new cloud-native application before deployment.
Understanding the goal helps match the correct Azure cost tool.
2
Evaluate the capabilities of the Azure Total Cost of Ownership (TCO) Calculator.
The TCO Calculator is designed to compare the cost of running on-premises infrastructure against equivalent Azure services to estimate migration savings over time.
This determines if the TCO Calculator is suitable for a new application with no on-premises footprint.
3
Evaluate the capabilities of the Azure Pricing Calculator.
The Pricing Calculator estimates the costs of individual Azure services and architectures for new deployments, without requiring an on-premises baseline.
This identifies the correct tool for the scenario.

Key Concept

Distinguishing between the Azure Pricing Calculator and the Azure Total Cost of Ownership (TCO) Calculator.
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Topics

Azure Pricing Calculator and TCO Calculator

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