In October 2022, Microsoft announced that the ability to exchange Azure compute reservations would be deprecated on January 1, 2024.
This policy’s start date remains January 1, 2024. However, through a grace period, you have the ability to exchange Azure compute reservations (Azure Reserved Virtual Machine Instances, Azure Dedicated Host reservations, and Azure App Services reservations) until at least July 1, 2024. Compute reservations purchased prior to the end of the grace period will reserve the right to exchange one more time after the grace period ends.
This grace period is designed to provide more time for you to determine your resource needs and plan accordingly.
More information
This is a useful article with some example scenarios: https://learn.microsoft.com/en-us/azure/cost-management-billing/reservations/reservation-exchange-policy-changes
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