As we expand our cloud portfolio and work to improve the resiliency and reach of our network, we face the reality of also evolving some of the economic fundamentals that make this expansion possible, while staying true to our core mission of making cloud computing affordable and accessible.
As a result, we want to let you know about updates we are making to our pricing. Some of these changes will provide new, lower-cost options, while others will raise prices for certain products.
Which services will have new pricing?
We are increasing prices for some compute instance types and additional IP addresses.
The price of Shared and Dedicated compute plans will increase by 20%. Our shared Nanode plan remains unchanged at US$5 per month.
Additional IPv4 IP addresses will increase from US$1 to US$2 per month. IPv6 addresses remain free.
Reduces egress overage costs from US$0.01 to US$0.005 per GB (up to 1PB per month) applied across all of our existing core data center locations.
Why are we making these changes?
Akamai faces the same macroeconomic headwinds of growing costs for data center space, energy, and hardware as other providers. We resisted making any changes to our offerings for as long as we could. We believe that this pricing change reflects the new market reality, but we will continue to deliver the highest of standards, capabilities, and performance at the best prices our customers have come to expect.
We know Nanodes are important to many of our individual customers. Despite our costs going up, we made the decision to keep our Nanode pricing intact. And while we have increased the prices of our Shared and Dedicated plans, our prices are still 60% lower than the big hyperscalers’ prices and in line with or lower than the prices of many of our other competitors.
Cutting egress pricing in half
When Akamai acquired Linode, we promised to leverage our content delivery network (CDN) economics to aggressively drive down the price of egress, as it was one of the biggest pain points we heard our customers were facing when moving to the cloud.
High data transfer rates have become a point of friction for the free movement of data, often used as a lever to lock customers into a single provider. High data transfer fees are also one of the drivers behind the European Union’s push to enact policies that foster greater flexibility of choice for cloud services.
So, while we’re increasing prices in some of our compute plans, we’re also driving down the pain of data transfer by cutting our cloud egress costs in half — on top of the already large amount of free capacity that we already offer.
Akamai’s scale not only gives us the ability to scale our new cloud computing services around the world, but allows us to apply that scale to cloud data transfer and offer significantly discounted rates compared with other cloud providers. The new pricing structure for egress sets a new bar for the cloud computing industry.
When will the new prices go into effect?
The new pricing will go into effect on April 1, 2023.
Improving your cloud experience
As we highlighted in our recent announcement introducing Akamai Connected Cloud, we have been hard at work to scale our global network and infrastructure services. We’re also continuing to invest in our cloud computing services, and we’re excited about the new and improved services on our roadmap.
Network updates to connect existing core sites to the Akamai backbone
Capacity improvements and the introduction of new core and distributed sites
Recently released certifications for ISO, SOC 2, and HIPAA standards compliance
Product updates and global rollout for additional cloud primitives
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