The purpose of this post is to make you aware of a change that will occur in the coming months: Cloud Servers customers will be billed for Red Hat Enterprise Linux (RHEL) instances on a monthly rather than hourly basis. Due to changes in our subscription arrangements with Red Hat, we can no longer offer Cloud customers hourly billing for RHEL licenses. Rackspace will begin charging our customers a monthly licensing fee, starting in September. This license fee will not be prorated.
What this means for our Rackspace Cloud Servers customers using RHEL:
- Instead of being billed for your RHEL license on an hourly basis, customers using Red Hat will be billed on a monthly basis (30 day billing cycle). The Cloud Server will continue to be billed on a utility basis.
- The new fee for RHEL will be $20 per month per server, which is an average savings of $1.60 per month for each server for a full month’s usage. This fee replaces the $.03/hour fee per server using Red Hat that is currently in place.
- Every Cloud Server that you spin up with RHEL will be subject to a full month’s license fee, no matter how long you use it. If a Cloud Server with RHEL is running for any portion of a month, then you will be billed for that month’s license fee.
Thank you for your understanding as we shift to monthly billing for RHEL users on Rackspace Cloud Servers.