Azure Networking Cost Optimization & Monitoring

Azure networking is powerful — but can get expensive if you’re not careful.
This post covers:

  • What costs the most in Azure networking?
  • How to reduce cost without compromising security
  • Tools to monitor and alert for network health

What Costs the Most?

ResourceCost Impact
Azure Firewall$$$ — Pay per deployment + GB used
ExpressRoute$$$ — Monthly base + bandwidth
Data TransferCharges for traffic between regions or zones
VPN GatewayBased on SKU and time
PeeringInbound = Free, Outbound = $$$
Public IPBasic = Free, Standard = Billable

Cost Optimization Tips

Use NAT Gateway Instead of Load Balancer SNAT

  • Avoid port exhaustion
  • More scalable for outbound traffic
  • Predictable IP and cost

Consolidate Firewalls in Hub

  • One Azure Firewall in the Hub VNet
  • Route all traffic through it
  • Use UDRs and ASGs to enforce control

Avoid Cross-Region Traffic

  • Peering across regions = paid outbound
  • Keep apps and databases in same region when possible

Use Azure Cost Management

  • Enable tags on VNet, Firewall, NAT Gateway
  • Group by project/team/app
  • Set up budgets and alerts

Monitoring Tools

ToolUse For
Network WatcherPacket capture, NSG flow logs
Azure MonitorMetrics for Firewall, VPN, Gateway
Log AnalyticsQuery NSG and Firewall logs
Connection MonitorEnd-to-end checks (latency, loss)

Monitor These Metrics

  • Firewall throughput
  • NAT Gateway SNAT ports used
  • VPN Tunnel status (S2S, P2S)
  • Inbound/outbound bytes per VNet
  • Number of dropped packets (NSG)

Set Alerts (Examples)

  • Alert if VPN Gateway is down
  • Alert if Azure Firewall hits 80% throughput
  • Alert on unexpected data transfer spikes

Final Tip

  • Secure, scalable Azure networking is possible without breaking the bank.
    But it requires:

  • Planning IP space

  • Designing with hub-spoke

  • Monitoring everything!

Learn More

Thanks for following the Azure Networking Series
Let’s build better cloud networks, the KasdevTech way!

– Kasi @ KasdevTech or LinkedIn