In consideration of Customer’s large compute volume spend for Rackspace cloud services, the Parties agree as follows:
1. Definition. Volume Discount is defined as the discount offered to Customer for large compute volume spend for Rackspace Cloud Services on a single account. Volume Discounts are applied incrementally as usage is incurred by Customer.
2. Discounts. The following graduated discounts will apply to Customer’s cloud account based on Customer’s volume spend on a single account:
3. Restrictions. The discounts above are subject to the following conditions and restrictions:
a. "Geography" is defined as a region or multiple regions with the same pricing structure (e.g., both currency and amount) which are combined to create one geography for purposes of aggregating a customer's usage eligible for discount under these terms. A "region" is defined as a collection of one or more data centers interconnected with a low latency, high bandwidth network and is designated by the nearest airport code.
- USA Geography: DFW, ORD & IAD Regions
- UK Geography: UK Region
- AUS Geography: SYD Region
b. Tier eligibility shall be based on aggregation of Customer's eligible cloud services (including infrastructure, licenses, and Managed Cloud but specifically excluding the account fee). Bandwidth charges are not included in determining Customer's minimum spend amount/tier eligibility. Aggregation for any compute volume discounts shall be based on the location of the region within a Geography from which services originate. In the event that a customer orders Services from regions in two different Geographies, the services shall be aggregated separately to apply to the different discounts available in each Geography.
c. Discounts shall be applied incrementally as usage is incurred.
d. Discount tiers and amounts are subject to change without notice.
4. SLA Credits. Any SLA credit due to customer shall be based on Customer’s post-discount spend amount.