Azure OpenAI Pricing in Australia: Costs and Smart Billing Tips

If you’re building with AI in Australia, you’ll want clear pricing, predictable bills and simple ways to pay in different currencies. Azure OpenAI pricing is usage-based: you pay per model and per 1M tokens. That’s flexible, but your choices — model type, context window and deployment mode — drive cost.

This guide explains how pricing works for Australian businesses, what currency to expect on the invoice, what to watch for with add-ons and how to lower next month’s bill without slowing your team. We’ll also compare Azure OpenAI with a close competitor in Australia: OpenAI’s own API.

When it’s time to pay, Wise Business makes it easy — use the Wise Business debit card to settle SaaS bills in over 40+ currencies, including USD and EUR, with low conversion fees and the mid-market rate. For tighter control, set limits and track spending with your Wise Business Card.

Table of contents
Azure OpenAI pricing overview What is the pricing currency for Azure OpenAI in Australia? Standard (pay-as-you-go) Batch (asynchronous, discounted) Provisioned throughput (reserved capacity) Add-ons and related costs How to save on your Azure OpenAI bill next month Azure OpenAI pricing vs OpenAI API FAQs

Azure OpenAI pricing overview

By learning how Azure OpenAI pricing is structured across Standard, Batch and Provisioned modes, businesses can predict their spending and avoid billing surprises.

You pay only for what you process — every token in and out, with unit rates set per model and deployment type. There are no license tiers. Instead, you choose between Standard (pay-as-you-go), Batch (asynchronous, discounted) or Provisioned throughput (reserved capacity). You’ll find the latest model prices on Microsoft’s Azure pricing page and AI docs. Actual costs may vary by region, contract and currency exchange rate¹.

Plans at a glance

Option	Billing basis	Example monthly	Example annual	Notes
Standard (pay-as-you-go)	Per 1M tokens	Around 20–30 USD for about 20Mtokens on a lower-cost model	Around 240–360 USD	Rates vary by model. Both input and output tokens are billed.
Batch (asynchronous)	Per 1M tokens	Up to about 50% cheaper than Standard rates for eligible workloads	—	Queued processing with target 24-hour turnaround.
Provisioned throughput	PTUs per hour	PTUs × model rate × about 720 hours	PTUs × model rate × about 8,760 hours	Reserved capacity: you pay for the full PTU block, even if you don’t use it all.

*Details accurate as of 5 October 2025.

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What is the pricing currency for Azure OpenAI in Australia?

For Australian customers, Azure OpenAI pricing is listed in US dollars (USD). Under the Microsoft Customer Agreement, Azure usage is first calculated in USD and then converted to Australian dollars (AUD) at the time of billing, based on Microsoft’s published exchange rate policy².

Your AUD total may vary month-to-month with foreign exchange rate fluctuations, even if usage is flat.

Breakdown

• Charge currency: USD (usage is derived from the USD price list)
• Reference mid-market (illustrative): 1 USD = Approximately 1.55 AUD
• If usage is 40 USD: around 62.00 AUD

📌Actual billing conversion uses Microsoft’s internal rate, which may differ from the mid-market rate.

Standard (pay-as-you-go)

Pricing

You pay per token at the current model rate. (Azure presents USD per 1M tokens on the pricing page). Both prompts (input) and completions (output) are billed. No commitment. The Azure pricing page and calculator show per-model rates and let you estimate by region³.

Features

• No minimum spend; start fast
• Works with all supported models
• Cost alerts via Azure Cost Management

Is Standard right for my business?

Yes, if your traffic is spiky, you’re testing prompts or you want to ship quickly without capacity planning. Keep prompts lean and use cheaper models for routine tasks.

Batch (asynchronous, discounted)

Pricing

Submit large jobs to process asynchronously on a separate queue. Microsoft states that Batch processing aims for a target turnaround of about 24 hours and can be up to around 50% more cost-efficient than Standard pricing, depending on the workload and model⁴.

Features

• Separate quota so live traffic isn’t impacted
• High throughput for bulk jobs
• Designed for end-of-day or weekly runs

Is Batch right for my business?

Yes for bulk jobs: invoice extraction, long document classification, nightly summarisation.

Provisioned throughput (reserved capacity)

Pricing

You reserve capacity via Provisioned Throughput Units (PTUs) billed hourly. It suits high, steady workloads with strict latency targets or compliance needs that benefit from dedicated capacity. Microsoft’s guide shows how to translate real token usage into PTUs — helping you estimate costs more reliably.

Features

• Guaranteed capacity and predictable performance⁵
• Region-scoped quota and Role-Based Access Control (RBAC) controls
• Option for reservations to reduce cost

Is provisioned throughput right for my business?

Choose it when production traffic is consistently high and you need strict SLAs. Start on Standard, measure steady-state usage, then model the PTU break-even.

Add-ons and related costs

Azure OpenAI doesn’t offer add-on SKUs. You pay for tokens in Standard or Batch, or for PTU hours in Provisioned. If you use other Azure services alongside the API (Functions, Storage, Cognitive Search, logging), those are billed separately⁶. For forecasting, model the whole stack when you estimate Azure OpenAI pricing.

How to save on your Azure OpenAI bill next month

Start by picking the right deployment mode for your workload. Standard for spiky traffic, Batch for bulk jobs and Provisioned throughput when usage is steady and you need predictable performance.

Match model to task. Don’t use a top-tier model for simple routing or short summaries. Default to the smallest capable model and step up only when needed. Check live per-model rates when planning Azure OpenAI pricing.

Trim tokens. Shorten system prompts. Remove boilerplate. Cap max output tokens. Avoid repeating static context; cache it in your app when safe.

Batch when latency isn’t critical. Move large offline jobs (nightly summarisation, bulk classification) to Batch for roughly half the unit cost and separate queueing from live traffic.

Check your token reports each week to see where your budget’s really going. Tag resources by team or product for chargeback. Set budgets and anomaly alerts in Azure Cost Management. Rotate expensive workflows to cheaper models if they drift.

Use advanced features (often underused):

• Batch for big non-urgent jobs (discounted)
• Provisioned throughput (PTUs) for high, steady loads and strict SLAs
• JSON/structured outputs to reduce formatting tokens
• Function/tool calls to keep prompts shorter and responses focused
• Embeddings for search instead of asking a chat model to “find” content
• Right-size context windows (don’t pay for 32k if 8k is enough)

Consider provisioned throughput once traffic is steady. If you consistently saturate Standard, model PTU break-even using the last 60-90 days of usage, then compare against reserved capacity pricing.

Optimise how you pay. If a vendor or marketplace charges in another currency, foreign transaction fees and poor foreign exchange rates can inflate costs. With Wise Business, you can hold 40+ currencies and pay suppliers or SaaS providers globally at the mid-market rate — no hidden exchange rate markups or hidden fees.

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Azure OpenAI pricing vs OpenAI API

For Australia, the most relevant competitor to Azure OpenAI is OpenAI’s own API. Both expose similar model families and charge per token. While other AI providers like Anthropic (Claude), Cohere or Google Gemini compete in the broader enterprise space, OpenAI API remains the closest alternative for comparing usage-based pricing and model access. Azure OpenAI rates are generally aligned with OpenAI’s list prices for the same models, though regional and contractual differences may apply.

Pricing parity and differences

• Unit pricing: Azure OpenAI pricing is per-model; OpenAI publishes per-model USD pricing. For comparable models, list rates are broadly aligned.
• Discounted modes: Azure offers a Batch mode for asynchronous jobs with approximately a 50% unit-cost discount; OpenAI’s Batch API also offers approximately 50% off synchronous rates.
• Currency and billing: Azure lists globally in USD but bills AU customers in AUD under the Microsoft Customer Agreement (foreign currency conversion at billing). OpenAI typically bills in USD on card.
• Enterprise controls: Azure integrates with Microsoft Entra ID (formerly Azure AD), RBAC, networking options and consolidated Azure invoices. OpenAI’s native platform is fast to start and independent of Azure.

At-a-glance comparison

Area	Azure OpenAI pricing	OpenAI API pricing
How you pay	Usage priced in USD; billed in AUD under MCA	USD card billing
Discounted mode	Batch (approximately 50% off); Provisioned throughput (reserved capacity)	Batch (approximately 50% off); no Azure-style PTUs⁷
Controls	Microsoft Entra ID, RBAC, networking, single Azure invoice	Simple account + API keys
When it fits	Already on Azure; need AUD billing, governance or capacity reservations	Want a standalone setup and quick access

*Details accurate as of 5 October 2025

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FAQs

Does Azure OpenAI have a free plan or free trial?

There isn’t a permanent free tier for Azure OpenAI usage. New Azure accounts may receive general Azure credits from time to time, but tokens are billed once you start using the service. Check the live page for Azure OpenAI pricing and any promos.

Does Azure OpenAI have an app?

There’s no standalone “app” like a consumer chat app. Azure OpenAI is managed in the Azure portal/Azure AI Studio and you integrate it into your products and workflows. Teams interact with it through APIs, SDKs and the Azure console.

Does Azure OpenAI offer an API?

Yes. Azure exposes REST endpoints and SDKs (like Python, .NET, Java). You deploy a model, then call it using keys or Microsoft Entra ID. Request/response shapes are similar to OpenAI’s API, with Azure resource endpoints.

What models and deployment types are available?

Azure lists the currently available models (like GPT-4.x/o-series, embeddings, image and audio options), plus Standard, Batch and Provisioned throughput deployment modes. Availability may vary by region, so always check the live table before you build.

Does Azure OpenAI charge for enterprise onboarding or support?

Azure OpenAI doesn’t have a dedicated implementation fee. However, large enterprise deployments may involve additional Azure services — such as Cognitive Search, Data Lake or Private Networking — that add to overall setup costs. Business customers should evaluate these dependencies early, as they influence the total cost of ownership.

How do I reduce foreign exchange risk when paying for AI and other SaaS?

With Wise Business, you can hold multiple currencies in your account, and use the business debit card to pay your software bills in foreign currencies without having to convert your money. If you have insufficient amount of a specific currency to pay a bill, don't worry! Wise will automatically convert the currency for you that has the lowest conversion fee, so that your bills gets processed smoothly.

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Conclusion

Azure OpenAI pricing is transparent and flexible. Start with Standard for experiments, use Batch when latency isn’t critical to lower unit cost and move to Provisioned throughput once traffic is steady and SLAs are strict. Keep prompts concise, choose the smallest capable model and review usage weekly.

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Resources

1. Azure OpenAI pricing
2. Azure pricing and billing policy
3. Microsoft Azure Pricing Calculator
4. Microsoft Learn – Getting started with Azure OpenAI batch deployments
5. Microsoft Learn – What is provisioned throughput?
6. Microsoft Learn – Plan to manage costs for Azure OpenAI
7. OpenAI Documentation - Batch API

Sources checked on 5th October 2025