Vendor expertise / AWS / Private pricing

AWS PRIVATE PRICING

An AWS discount is a promise to spend.

Private pricing agreements set a discount across AWS in exchange for committed spend over several years. The commitment, not the rate, is where the risk sits.

Multi-yearTypical private pricing term
+15%, +20%Two 2026 increases on reserved GPU capacity
Dec 31Amazon fiscal year end

Presented by the Deal IQ AWS practice  ·  Updated September 2026

How private pricing works

AWS publishes list prices for every service and bills on consumption. Large customers typically sign a private pricing agreement, often called an EDP or PPA, which sets a discount across services in exchange for a committed annual spend over a multi-year term. Savings Plans and Reserved Instances can sit alongside it for specific workloads.

Commitments are firm. If actual spend falls short, the difference is typically still owed. How Marketplace purchases and AI services count toward the commitment depends on how the agreement is written, and Enterprise Support is commonly required.

AI capacity is priced differently

Reserved GPU capacity follows its own rules. AWS raised prices on EC2 Capacity Blocks for Machine Learning by about 15% in January 2026 and about 20% in July 2026, across families including P6-B300, P6-B200, P5, P5e, P5en and P4de, citing supply and demand. Other EC2 prices were unchanged.

As AI workloads grow, more of an AWS bill is exposed to pricing that moves with capacity rather than with the agreement.

What it means at renewal

A private pricing renewal is priced around the size of the commitment, and several terms move with it: what counts toward it, support, and how AI spend is treated. Each of them is negotiable, and each changes what the business actually pays over the term.

Where Deal IQ comes in

This page covers what has changed and where the cost sits. Turning that into a better price on your contract is the negotiation itself. Deal IQ has run 75+ AWS negotiations covering $950M+ in contract value, with a network of 350+ former vendor sales, pricing and deal desk leaders that includes people who sold AWS. We negotiate directly with AWS or behind the scenes with your team, and our fee comes from the savings.

Frequently asked questions

What is an AWS EDP or PPA?

A private pricing agreement that gives a discount across AWS services in exchange for a committed annual spend over a multi-year term.

What happens if we spend less than our AWS commitment?

The shortfall is typically still owed. The exact terms depend on the agreement.

Did AWS raise GPU prices in 2026?

Yes. EC2 Capacity Blocks for ML rose about 15% in January 2026 and about 20% in July 2026. Other EC2 prices were unchanged.

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3,000+negotiations
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4.7/5client rating for delivering savings
$0fee if there are no savings
NPS and rating from independent client research by Plural Strategy Group, 2026.What our clients say →

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