How does Snowflake’s pricing model compare to that of its competitors?

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How does Snowflake's pricing model compare to that of its competitors?

Alejandro Penzini Answered question November 30, 2023

Snowflake's pricing model is unique in the cloud data warehouse industry. It is a pay-as-you-go model that charges for compute and storage independently. This makes it a very flexible and cost-effective option for organizations with varying data volumes and workloads.


Snowflake charges for compute based on virtual warehouse (vWH) credits. Each vWH credit represents a certain amount of compute resources, such as CPU, memory, and storage. You can purchase vWH credits in different sizes and you can also scale your vWHs up or down as needed.


Snowflake charges for storage based on the amount of data you store. There are two storage options: active storage and cold storage. Active storage is used for data that is frequently accessed. Cold storage is used for data that is accessed less frequently. Cold storage is significantly cheaper than active storage.

Pricing tiers

Snowflake also offers two pricing tiers: Standard and Enterprise. The Enterprise tier includes additional features, such as query prioritization and advanced security features.

Here is a table that compares Snowflake's pricing model to that of its competitors:

Feature Snowflake Amazon Redshift Google BigQuery
Compute Pay-as-you-go (vWH credits) Pay-as-you-go (instance hours) Pay-as-you-go (slots)
Storage Pay-as-you-go (active storage and cold storage) Pay-as-you-go (storage blocks) Pay-as-you-go (storage tiers)
Pricing tiers Standard and Enterprise Standard and Reserved Instances On-demand and Committed Use Discounts
Here are some of the benefits of Snowflake's pricing model:

Flexibility: Snowflake's pay-as-you-go model is very flexible. You can only pay for the resources that you use, which can save you money if you have a variable workload.

Cost-effectiveness: Snowflake's pricing is very competitive. Its pay-as-you-go model and its cold storage option can help you save money, especially if you have a lot of inactive data.

Predictability: Snowflake's pricing is very predictable. You can easily estimate your costs based on your data volume and workload.

Overall, Snowflake's pricing model is a good choice for organizations that are looking for a flexible, cost-effective, and predictable way to pay for their cloud data warehouse.

It is important to note that Snowflake's pricing is complex and there are many factors to consider when estimating your costs. It is recommended that you contact Snowflake for a custom quote.

Alejandro Penzini Answered question November 30, 2023

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