---
title: Azure API Management Consumption Tier
description: Microsoft has announced a new Azure API Management Consumption tier. This new tier aligns with serverless architecture principles that includes automated s
---

[Skip to the main content.](https://uptec.io/blog/azure-api-management-consumption-tier#main-content)

- [Privacy Policy](https://uptec.io/privacy-policy-1)
- [Modern Slavery](https://uptec.io/modern-slavery-statement)
- [Net Zero Pledge](https://uptec.io/en-us/net-zero)

[![Logo-Transparant](https://uptec.io/hs-fs/hubfs/Logo-Transparant.png?width=936&height=804&name=Logo-Transparant.png "Logo-Transparant")](https://uptec.io/)

[![Logo-Transparant](https://uptec.io/hs-fs/hubfs/Logo-Transparant.png?width=936&height=804&name=Logo-Transparant.png "Logo-Transparant")](https://uptec.io/)

- [Home](https://uptec.io)
- [Products](https://uptec.io/products)
- [Services](https://uptec.io/services)
- [About](https://uptec.io/about)
- [News & Insights](https://uptec.io/blog)
- [Contact Us](https://uptec.io/contact-us)
- [Careers](https://uptec.io/careers)

Search

Toggle Menu

Search

Toggle Menu

- [Home](https://uptec.io)
- [Products](https://uptec.io/products)
- [Services](https://uptec.io/services)
- [About](https://uptec.io/about)
- [News & Insights](https://uptec.io/blog)
- [Contact Us](https://uptec.io/contact-us)
- [Careers](https://uptec.io/careers)

[Facebook](https://uptec.io/blog/azure-api-management-consumption-tier#0) [Instagram](https://uptec.io/blog/azure-api-management-consumption-tier#0) [Linkedin](https://uptec.io/blog/azure-api-management-consumption-tier#0) [X](https://uptec.io/blog/azure-api-management-consumption-tier#0) [YouTube](https://uptec.io/blog/azure-api-management-consumption-tier#0) [Medium](https://uptec.io/blog/azure-api-management-consumption-tier#0)

 1 min read

# Azure API Management Consumption Tier

[Alexandre Verkinderen](https://uptec.io/blog/author/alexandre-verkinderen) :  Dec 8, 2023, 1:32:00 PM

Microsoft has announced a new[ Azure API Management Consumption tier](https://azure.microsoft.com/en-us/blog/announcing-azure-api-management-for-serverless-architectures/). This new tier aligns with serverless architecture principles that includes automated scaling, built-in high availability and requires no infrastructure to provision or manage. 

Traditionally, Azure API Management has been deployed through a [scale unit approach](https://azure.microsoft.com/en-us/pricing/details/api-management/) that is measured hourly. This approach results in billing events being accrued, irrespective of whether the API gateway is processing requests. By contrast, the new consumption tier is **only billed based on usage.**

While the underlying API Management service components remain the same across existing and consumption tiers, some additional features are provided by the new tier. It is important to note, there are some key differences with the consumption based tier as it does not provide an built-in cache, developer portal, management portal, disaster recovery strategies (i.e. backup/restore), configuration into Git, Azure Active Directory integration, Virtual Network support, multi-region deployment and has [usage limits](https://docs.microsoft.com/en-us/azure/azure-subscription-service-limits#api-management-limits).

The following table provides a comparison of features between the new and the traditional tiers. 

![](https://uptec.io/hubfs/Imported_Blog_Media/api-consumption-tier-1024x603-1.png) <figcaption>  
*Image source: [https://azure.microsoft.com/en-us/blog/announcing-azure-api-management-for-serverless-architectures/](https://azure.microsoft.com/en-us/blog/announcing-azure-api-management-for-serverless-architectures/)* </figcaption></figure>

Further, the new tier provides two additional features of Bring Your Own Cache (BYOC) and flexible API Key subscriptions.

### Bring Your Own Cache

The BYOC feature allows for the use of an [externally provisioned Redis-compatible cache](https://docs.microsoft.com/en-us/azure/api-management/api-management-howto-cache-external) that is especially beneficial by providing more cache data capacity than the API Management tier allows, and prevents the cache being cleared during API Management updates. Caching reduces the load on backend systems when data is frequently requested but does not regularly change. It also has the benefit of reducing costs associated with requests to the backend services.

### API Key Subscriptions

The API Key subscriptions have a more flexible option that allows standalone subscriptions to exist that are not associated with a user. Keys can also be created to grant access to an API or *all APIs* within an API Management instance without first having to associate them to a *Product*. Using the *all APIs* subscription option provides for an even more straightforward method for testing and debugging within the Test panel of the API Management.

### Conclusion

The new consumption tier will not be suitable for every situation but allows for smaller applications or services to deploy an entry-level model of the API Management.

Please stayed tuned for some more API management blogs in the near future.

Written by Peter Bosen and Alexandre Verkinderen (CO4 Team)

- [Tweet](https://twitter.com/share)

[![Publish the new Azure API Management Service Developer Portal behind an Application Gateway](https://uptec.io/hubfs/Imported_Blog_Media/2020-06-10-AzureAPI-vnet.png)](https://uptec.io/blog/publish-new-azure-apim-developer_portal)

 2 min read

#### [Publish the new Azure API Management Service Developer Portal behind an Application Gateway](https://uptec.io/blog/publish-new-azure-apim-developer_portal)

[Alexandre Verkinderen](https://uptec.io/blog/author/alexandre-verkinderen) : Dec 8, 2023, 1:32:00 PM

There are currently 2 developer portals for the Azure API Management service: a legacy portal and the new portal experience. We deployed our Azure...

[Read More](https://uptec.io/blog/publish-new-azure-apim-developer_portal)

 3 min read

#### [Use Azure DevOps Self Hosted agents with Azure App Service access restrictions](https://uptec.io/blog/devops-release-pipelines-with-appservice-ip-restrictions)

[Alexandre Verkinderen](https://uptec.io/blog/author/alexandre-verkinderen) : Dec 8, 2023, 1:32:00 PM

By default, when you deploy a new Azure WebApp, Function app or API app it will be publicly available to the internet. For the current customer I’m...

[Read More](https://uptec.io/blog/devops-release-pipelines-with-appservice-ip-restrictions)

 2 min read

#### [How to define an Azure Limited Admin custom role](https://uptec.io/blog/how-to-define-an-azure-limited-admin-custom-role)

[Admin](https://uptec.io/blog/author/admin) : Dec 8, 2023, 1:32:00 PM

Hi all, After implementing the Governance policies and foundations described in“Deploying Azure resource policies” it is important to make sure the...

[Read More](https://uptec.io/blog/how-to-define-an-azure-limited-admin-custom-role)

##### Australia

Australia

77 Cinnamon Meander

Two Rocks,

WA 6037, Australia

ABN: 48 643 822 833

##### Europe

Europe

Margote

Wichelen 9260,

Belgium

##### New Zealand

New Zealand

Suite A Floor 8 Harbourview Building,

152 Quay Street

Auckland Central 1010, New Zealand 

NZBN: 9429051226893

##### About

About

Uptec acknowledges the Traditional Owners of Country throughout Australia and acknowledges their continuing connection to land, waters and community. We pay our respects to the people, the cultures and the Elders past and present.

 

 

© 2026 Uptec Pty Ltd

[Linkedin](https://au.linkedin.com/company/uptecio) 

Return to top

```json
{
  "@context" : "https://schema.org",
  "@type" : "BlogPosting",
  "author" : {
    "@type" : "Person",
    "name" : "Alexandre Verkinderen",
    "url" : "https://uptec.io/blog/author/alexandre-verkinderen"
  },
  "dateModified" : "2024-12-08T02:36:32.414Z",
  "datePublished" : "2023-12-08T02:32:00.000Z",
  "headline" : "Azure API Management Consumption Tier",
  "mainEntityOfPage" : {
    "@id" : "https://uptec.io/blog/azure-api-management-consumption-tier",
    "@type" : "WebPage"
  },
  "publisher" : {
    "@type" : "Organization",
    "logo" : {
      "@type" : "ImageObject",
      "url" : "https://uptec.io/hubfs/Logo.jpg"
    }
  }
}
```