We’re excited to introduce a new billing model for our Starlight VM: Pay-as-you-go (PAYG)! But what exactly is PAYG cloud computing, and how can it benefit you?
Pay-as-you-go is a flexible pricing model that allows users to access cloud resources like virtual machines, paying only for the time they actually use them. Instead of committing to long-term contracts or paying for unused resources, PAYG enables you to dynamically scale your usage based on demand.
This model is especially useful for those who don’t want the upfront investment or the hassle of maintaining idle infrastructure. You only pay for the time your virtual machine is active, making it a great choice for users with fluctuating workloads or those looking for cost-effective solutions.
Here’s how PAYG works in your favor:
Pay for what you use: With PAYG, you only pay for the hours your VM is running. If you use it less, you pay less. This eliminates the need to maintain expensive, idle infrastructure like traditional on-premise servers or pre-paid contracts.
Cost-efficiency: No more paying for the time you don’t use your VM. PAYG ensures that your bill matches your actual time of usage, helping you optimize costs.
When using Starlight VM, you’ll be charged based on the number of hours your virtual machine is running. You can start and stop your Starlight VM as needed, without having to request anything from us. Everything is in your control, and you only pay when you use a VM.
Since billing occurs monthly after usage, Pay-As-You-Go offers flexibility without locking you into a fixed price, unlike reserved instances where users commit to a specific amount of resources for a set period (monthly, yearly, or even 2-3 years) for lower rates. Reserved instances work well for predictable workloads, but PAYG is more suited for fluctuating demands. However, keep in mind that resources are billed even when the Starlight Virtual Machine is turned off.
Scenario: Setting Up and Using Your Starlight VM with PAYG
Starting Your Plan and Adding a Payment Method: You’ll need to add a valid payment method in order to subscribe to a Starlight VM PAYG plan.
Using Your VM and Accumulating Charges: You can start and stop your Starlight VM as needed. Charges accrue based on the number of hours your VM is running. If you turn your VM off but don’t fully terminate it, some charges may still apply as resources are reserved for you.
Receiving an Upcoming Payment Notification: Five days before your monthly payment date, you’ll receive a notification from us with an estimated sum of all PAYG subscriptions on your account. This estimate includes the monthly cost of each VM plan based on total usage if each VM were active for the full billing period.
However, your actual charge could be less than this estimate, depending on how much you used each VM. If a VM wasn’t in use for the entire month, the total amount billed will be lower than the estimated sum.
Calculating an Exact Estimate: To determine exactly what you’ll need to pay, you can manually calculate the approximate cost by multiplying the number of minutes, hours, or days each VM was active by the hourly rate of your plan. This helps provide a precise estimate based on real usage.
Receiving Your Invoice and Payment Date: Each month, your invoice will be generated based on calendar days, summarizing your total usage and charges. For example, if you first subscribed on November 5, you’ll receive your next invoice around December 5, covering usage from November 5 to December 4.
The funds will be automatically debited on this date using your linked payment method. This consistency allows you to plan your monthly expenses. .
Automatic Payment Processing: Currently, only automatic renewal is available. No pre-payment or manual renewal.
Here’s an example to clarify how charges and notifications apply:
Date of First Purchase: November 5.
Billing Cycle: Monthly (e.g., November 5 - December 4).
Upcoming Payment Notification: Sent on November 30, with an estimated charge for all active VMs based on full-month usage.
Billing Date: December 5 (when your invoice is generated and payment processed).
Charges: Based on the actual hours each VM was active during the billing cycle. For example, if your VM was used for 100 hours, the bill will reflect that usage.
Always have a payment method ready: To use PAYG, you’ll need to keep at least one valid payment method on file.
You’re billed even when your VM is switched off: If your VM is turned off (but not terminated), you’ll still be billed because the resources are reserved for you. Make sure to fully terminate your VM to stop billing.
Billing based on calendar days: Since months have varying numbers of days (28, 30, or 31), your bill might fluctuate slightly. The number of billable hours will depend on the number of days in the month.
One payment date for everything: Your payment date is based on the day you purchased the first PAYG plan. All your VMs under the same account will be billed together on this date. For example, if the 1st plan was purchased on 5th of November, and 2nd on 15th, the billing date will be based on the date of the purchase VM (30 days from 5th November).