A weighted average of the prices charged by a cloud provider across organisations or accounts within a billing family, used for analytical purposes when individual line items are not visible. Blended rate is informative but not authoritative for cost allocation: federation reporting requires unblended rates whenever the underlying line items are available. The federation accepts blended rate only when the unblended detail is not available, with the source and computation documented per UFMS-001:2.4(b). Blended rate misuse for chargeback is a Tier-2 conduct issue.
A standard term of insurance and corporate finance applied to cloud billing; the AWS implementation popularised the term in the 2010s.
Federation members default to unblended rates for cost allocation. Blended rate is used only where unblended is unavailable, with source documented. Chargeback systems must use unblended rates per MEV-Annex:3.2 unless the vendor only exposes blended.
@misc{ifo4_glossary_blended_rate,
title = {{Blended Rate}},
author = {{IFO4 Federation Editorial Board}},
howpublished = {{IFO4 Federation Glossary, slug \texttt{blended-rate}}},
year = {2026},
url = {https://ifo4.org/glossary/blended-rate},
note = {Category: FinOps; key: BlendedRate}
}Federation members and accredited practitioners may challenge any entry under TGS-002:1.7. Filed challenges are routed to the editorial board, triaged into the revision register, and resolved in writing on the public docket. The slug remains stable through any revision.