Smash the Microsoft Azure Fundamentals Exam 2025 – Dive into the AZ-900 Adventure!

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What type of payment model is typically used with IaaS offerings?

Subscription-based

Pay-per-use

The pay-per-use model is the most common payment approach associated with Infrastructure as a Service (IaaS) offerings. This model allows users to pay only for the resources they utilize, such as computing power, storage, and networking, which can be scaled up or down based on demand.

The flexibility of this model is particularly beneficial for businesses that experience varying workloads, as it minimizes costs by charging only for the actual usage rather than a flat fee. This means that if a business has a spike in demand and needs more resources temporarily, it can scale its usage accordingly and only incur charges for that additional resource consumption.

The other options, while they may apply to some extent in certain contexts, do not capture the essence of IaaS payment structures as effectively. For example, a subscription-based model is more common in Software as a Service (SaaS) solutions, where a fixed regular fee is charged for access to the software, rather than based on resource consumption. Flat rate pricing tends not to reflect the dynamic nature of cloud resource consumption in IaaS environments. Free tiers may provide entry-level access for testing or learning purposes but do not represent a sustainable payment model for ongoing use in IaaS scenarios.

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Flat rate

Free tier only

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