Direct answer: at the Azure Retail Prices API on 9 November 2026 (eastus, Linux, USD, excluding tax/discounts), Azure App Service bills by “App Service plan × instance count”: B1 $0.017/hour (about $12.41/month), S1 $0.095/hour ($69.35/month), P1v3 $0.113/hour ($82.49/month), P1v4 $0.146/hour ($106.58/month), P2v3 $0.226 ($164.98), P3v3 $0.452 ($329.96). Three instances: B1 $37.23, S1 $208.05, P1v3 $247.47, P1v4 $319.74; ten instances: B1 $124.10, S1 $693.50, P1v3 $824.90, P1v4 $1,065.80. Selection rule: F1/Shared for development only; B1 for test/low traffic; S1+ for deployment slots/autoscale/backups and small production; P1v3/P1v4 for production; Isolated for network isolation/dedicated hardware; Container Apps for containerized microservices; Functions for events/short tasks.

This guide is for Azure application platform, SRE, .NET/PHP/Node developers and FinOps teams. It explains Linux B1/S1/P1v3/P1v4 prices, plan/instance/slot relationships, 1/3/10-instance TCO, the boundary versus Container Apps/Functions/AKS, hidden costs and a 90-day checklist. Prices come from the Azure App Service Linux pricing page and Azure Retail Prices API (eastus, 9 November 2026); plans/slots/features come from Microsoft Learn's hosting plans doc. Official price facts, editorial calculations and exclusions are kept separate. This is not procurement advice.

Three rules to remember

(1) Billing is at the plan level: one plan × instances; all apps/slots share the VMs, so scaling out adds linearly. (2) Features follow the tier: Standard+ adds deployment slots/autoscale/backups; Premium adds density/larger sizes; do not run production on B1. (3) Do not compare App Service directly with Container Apps/Functions: App Service is always-on PaaS, Container Apps bills vCPU/GiB-seconds, Functions bills executions/GB-seconds.

Plans and tiers: Free/Basic/Standard/Premium/Isolated

Free/Shared run on shared VMs with CPU quotas, development only; Basic is dedicated VMs with no deployment slots/autoscale/backups; Standard+ adds slots, autoscale, backups, custom domains/SSL; Premium v3/v4 offers higher density/larger sizes/more slots; Isolated provides network isolation/dedicated environment (ASE). Linux and Windows plans are priced separately, with Windows usually higher; all apps/slots share plan instances.

TierComputeKey featuresBest for
Free/SharedShared VM/CPU quotaBasic hostingDevelopment/trials
Basic B1–B3Dedicated VMsCustom domains/SSL; no slots/autoscale/backupsTest/low traffic
Standard S1–S3Dedicated VMsSlots/autoscale/backupsSmall production
Premium v3/v4Higher size/densityMore slots/better performanceProduction
IsolatedDedicated ASENetwork isolation/dedicated hardwareCompliance/enterprise

Source: Microsoft Learn, App Service hosting plans (9 November 2026). Editorial summary; specs/features follow official docs.

Unit prices: Linux B1/S1/P1v3/P1v4

Eastus Linux list prices: B1 $0.017/hour, B2 $0.034, B3 $0.067; S1 $0.095, S2 $0.19, S3 $0.38; P1v3 $0.113, P2v3 $0.226, P3v3 $0.452; P1v4 $0.146, P2v4 $0.292, P3v4 $0.584. At 730 hours/month: B1 $12.41, S1 $69.35, P1v3 $82.49, P1v4 $106.58, P2v3 $164.98, P3v3 $329.96. Windows plans are priced separately, usually higher.

PlanPrice (USD/hour)Monthly (730h)
B10.01712.41
B2 / B30.034 / 0.06724.82 / 48.91
S10.09569.35
S2 / S30.19 / 0.38138.70 / 277.40
P1v30.11382.49
P2v3 / P3v30.226 / 0.452164.98 / 329.96
P1v40.146106.58
P2v4 / P3v40.292 / 0.584213.16 / 426.32

Sources: Azure Retail Prices API (eastus, Linux, 9 November 2026) and App Service Linux pricing page. Monthly prices use 730 hours; tax/discounts/reservations excluded.

TCO: 1 / 3 / 10 instances

App Service plans bill per instance; scaling to 3/10 instances multiplies the monthly fee by 3/10: 1 instance B1 $12.41, S1 $69.35, P1v3 $82.49, P1v4 $106.58; 3 instances $37.23/$208.05/$247.47/$319.74; 10 instances $124.10/$693.50/$824.90/$1,065.80. Multiple apps/slots in the plan share these instances at no extra compute charge (but contend for CPU/memory).

Plan1 instance3 instances10 instances
B112.4137.23124.10
S169.35208.05693.50
P1v382.49247.47824.90
P1v4106.58319.741,065.80

Editorial calculation: hourly fee ×730 × instances; slots/egress/backups/certificates/tax/discounts excluded; apps/slots share plan instances.

Boundary with Container Apps / Functions / AKS

App Service fits always-on web/API, deployment slots/autoscale/custom domains and teams that prefer not to manage containers; Container Apps fits containerized microservices, bills vCPU/GiB-seconds and can scale to zero; Functions fits event-driven/short tasks, billed per execution/GB-second; AKS fits full Kubernetes/custom controllers. App Service's “always-on” means idle is billed; Container Apps/Functions can be cheaper when scaled to zero.

ScenarioPreferCheck first
Always-on web/API/slotsApp ServicePlan/instances/slots/autoscale
Containers/microservices/scale to zeroContainer AppsvCPU/GiB-seconds, requests
Events/short tasksFunctionsExecutions/GB-seconds, cold start
Full K8s/custom controllersAKSControl plane/nodes/operations
Compliance/network isolationIsolated/ASEASE cost/network
Development/trialsFree/Shared or B1Quota/no slots

Editorial selection framework, not a vendor recommendation; features/compliance/regional availability follow official docs and business requirements.

Hidden costs: seven items beyond the plan

Common add-ons: instances/autoscale (linear per instance), deployment slots (Standard+; shared plan but consume CPU/memory), backups (Standard+ storage/frequency), egress (cross-region/public), custom domains/certificates (standard SSL free; IP SSL/advanced certs extra), ASE/Isolated (dedicated environment is expensive), logs/App Insights (ingestion/retention) and WebJobs/diagnostic logs (consume plan resources).

Cost itemTriggerControl
Instances/autoscaleTraffic/rulesHeadroom for peaks; scale down
Deployment slotsStandard+ multiple slotsUse for release process
BackupsStandard+Frequency/retention by RPO
EgressCross-region/publicSame region/compression/CDN
Certificates/IP SSLCustom domain/advanced certsStandard SSL/managed certs
ASE/IsolatedNetwork isolationOnly for compliance needs
Logs/WebJobsDiagnostics/backgroundSampling/on demand

Sources: App Service pricing/hosting plans docs (9 November 2026). Editorial summary; billing follows official pages and bills.

How to choose: dev, production, isolation and containers

Development/trials: Free/Shared or B1; small production: S1 (slots/autoscale/backups); production: P1v3/P1v4 with instances scaled by traffic; network isolation/dedicated hardware: Isolated/ASE; containers/microservices: Container Apps; events/short tasks: Functions. Choose the tier by “always-on/scale-to-zero, slots/autoscale, compliance/isolation,” then calculate monthly cost by instances.

ScenarioPreferCheck first
Development/trialsFree/Shared, B1Quota, no slots/autoscale
Small production/slotsS1Instances, slots, backups
Production/higher densityP1v3/P1v4Instances, autoscale
Network isolation/complianceIsolated/ASEASE cost/network
Containers/microservicesContainer AppsvCPU/GiB-seconds, scale to zero
Events/short tasksFunctionsExecutions/GB-seconds

Editorial selection framework, not a vendor recommendation; features/compliance/regional availability follow official docs and business requirements.

90-day checklist

Use the first 90 days to close “apps/traffic → plan → instances/slots → pilot → cutover → review.” Weeks 1-2: inventory apps, CPU/memory, peaks, slot/backup needs; weeks 2-4: choose B1/S1/P1v3/P1v4 and instance count; weeks 4-6: deploy a pilot and test autoscale/slot swap; weeks 6-8: configure custom domain/SSL/backups/logs; weeks 8-10: cut over and monitor; weeks 10-12: cost review, tune instances/plan. Do not run production on B1 long term.

FAQ

How is App Service billed?

By App Service plan × instance count; apps/slots share instances. Linux B1 $0.017/h ($12.41/month), S1 $0.095 ($69.35), P1v3 $0.113 ($82.49), P1v4 $0.146 ($106.58).

What is the difference between B1 and S1?

B1 is a low-spec dedicated VM with no slots/autoscale/backups; S1+ adds slots, autoscale and backups, suitable for small production. S1 is about $69.35/month vs B1 $12.41/month.

P1v3 or P1v4?

Both are Premium tier; P1v4 is $0.146/h ($106.58/month) vs P1v3 $0.113/h ($82.49/month), with newer specs/performance. Choose by benchmark and regional availability.

How are extra instances billed?

Linearly: 3 instances = monthly ×3, 10 = ×10. B1 10 instances about $124.10/month; S1 about $693.50; P1v3 about $824.90.

Do deployment slots cost extra?

Slots share plan instances with no extra compute charge, but consume CPU/memory; Standard+ supports slots. Many slots may require a larger plan/more instances.

App Service or Container Apps?

Always-on web/API with slots/autoscale → App Service; containerized/microservices/scale to zero → Container Apps. App Service bills while idle; Container Apps compute is zero at zero replicas.

App Service or Functions?

Event-driven/short tasks → Functions (executions/GB-seconds); always-on web/API → App Service. Functions Flex 1M executions about $10.70/month; App Service S1 about $69.35/month.

How much more is Windows?

Windows and Linux are priced separately and usually higher; this article uses Linux list prices. Check the pricing page/Retail API for Windows.

Research method and limitations

This article separates “official price facts” from “editorial calculations.” Linux B1/B2/B3, S1/S2/S3, P1v3–P3v3 and P1v4–P3v4 hourly prices come from the Azure App Service Linux pricing page and Azure Retail Prices API (eastus, 9 November 2026); tiers/slots/autoscale/backups/Isolated come from Microsoft Learn's hosting plans doc. TCO, hidden costs and the 90-day checklist are editorial.

Eight limitations: (1) only eastus/Linux list prices, excluding Windows/tax/discounts/reservations; (2) 730 hours and 1/3/10 instances; (3) slots/egress/backups/certificates/ASE/logs combinations are excluded; (4) no real autoscale/slot-swap/performance benchmark; (5) App Service Environment/Isolated billing details are not covered; (6) 1/3-year reservation discounts are not modeled (API has reservation meters—verify on the pricing page); (7) all runtimes/regional differences are not covered; (8) prices/features change, so recheck official pages and bills before purchase.

Sources and basis

Data cut-off 9 November 2026; prices/availability follow the Azure official page and bill; this is not procurement, commercial or legal advice.

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