Google Cloud announced the availability of committed use discounts (CUDs) for Red Hat Enterprise Linux (RHEL) and RHEL for SAP.

CUDs can help cloud customers control their costs, especially those customers with predictable and consistent workloads. According to Google Cloud, CUDs can help RHEL customers save as much as 24% over pay-as-you-go pricing.

“Red Hat Enterprise Linux on Google Cloud provides a consistent foundation for hybrid cloud environments and a reliable, high-performance operating environment for applications and cloud infrastructure,” said Gunnar Hellekson, Vice President and General Manager, Red Hat Enterprise Linux Business Unit. “The introduction of committed use discounts for Red Hat Enterprise Linux for Google Cloud makes it even easier for customers to deploy on the world’s leading enterprise Linux platform to unlock greater business value in the cloud.”

Google says customers can save up to 20% on one-year commitments and up to 24% on three-year commitments.

Google says CUDs make sense for a lot of RHEL VM customers:

Based on our research, CUDs are a good fit for many Red Hat Enterprise Linux VMs, the majority of which run 24/7 workloads. When evaluating whether or not purchasing Red Hat Enterprise Linux CUD is a good choice for you, consider the following: Based on list prices for a one-year term, Red Hat Enterprise Linux CUDs can help you save on subscription costs if you utilize a Red Hat Enterprise Linux instance for ~80% or more of the time within the one year CUD term. For a three-year Red Hat Enterprise Linux CUD, you can start saving when a Red Hat Enterprise Linux instance runs for ~76% or more of the time. Additionally, remember that Red Hat Enterprise Linux CUDs automatically apply to all running VM instances within the same region and project. (However, one Red Hat Enterprise Linux CUD can only be applied to one VM instance at a time.)

Customers can find more information in Google’s “Purchasing commitments for licenses” documentation.