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# Cloud Units
![](img/cloudunits_abstract.jpg)
## What are Cloud Units?
Cloud units are the basis for price calculation for anyone intending to use/deploy on the Threefold Grid.
Cloud units are a unified way to account for virtual hardware resources on the ThreeFold Grid. They represent compute, storage and network equivalents to energy (kW - kilowatt). The are three categories of cloud units:
- Compute Unit (CU): The amount of data processing power in terms of virtual CPU (vCPU) cores (logical [CPUs](https://en.wikipedia.org/wiki/Central_processing_unit)) and Random Access Momory ([RAM](https://en.wikipedia.org/wiki/Random-access_memory)).
- Storage Unit (SU): The amount of storage capacity in terms of Hard Disk Drives (HDDs) and Solid State Drives (SSDs) in Gigabytes (GB).
- Network Unit (NU): The amount of data that travels in and out of storage units or compute units expressed in GB.
> Note: [Resource units](resource_units.md) are used to calculate SU & CU. Resource Units are used to measure compute and storage capacity produced by hardware.
When a solution is deployed on the ThreeFold Grid, the system automatically gathers the required amount of CU, SU, or NU. It is important to note that users are not billed upon reservation but only when utilizing the actualy CU, SU and NU. TF Certified Farmers can define the price of CU, SU, and NU they make available on the ThreeFold Grid.
## How is the price of Cloud Units (v4) calculated?
The following tables display how cloud units (v4) are calculated on the ThreeFold Grid. The 4th version of cloud units are used since Grid 2.2+ in mid 2020.
### Compute Capacity
| CU (Compute Unit) | | | | |
| ------------------------------------- | --- | --- | ---- | --------------- |
| GB Memory | 4 | 8 | 2 | |
| nr vCPU | 2 | 1 | 4 | |
| Passmark Minimum (expected is double) | 500 | 250 | 1000 | CPU performance |
The passmark (CPU benchmark or alternative) is not measured on the grid yet. It is used in simulators to check the mechanisms and ensure enough performance per CU is delivered.
Example of Compute unit:
- 4 GB memory & 2 virtual CPU (and 50GB of SSD disk space)
- Recommended price on TF Grid = 10 USD
- Alternative cloud price = between 40 USD and 180 USD
See how we compare with the market compute prices [here](pricing).
### Storage Capacity
| SU (Storage Unit) | HDD | SSD |
| ------------------- | ---- | --- |
| GB Storage Capacity | 1200 | 200 |
HDD is only usable for Zero Database driven storage (e.g. ThreeFold Quantum Safe Storage). 1.2 TB of HDD is provided following the advised storage policy of 16+4 with 20% overhead. So the net usable storage would be 1TB. In other words, the SU corresponds in that case to 1TB of net usable storage and an extra 200GB for redundancy.
Example of Storage unit:
- 1TB of usable storage as provided by the Zero-DBs (the backend storage systems)
- Recommended price on TF Grid for 1 SU = 10 USD
- Alternative cloud price = between 20 USD and 200 USD
See how we compare with market storage prices [here](pricing).
### Network
| NU (Network Unit = per GB) = NRU per month | GB (NRU) |
| ------------------------------------------ | -------- |
| GB transferred OUT or IN | 1 |
> We use SU-month and CU-month to show SU monthly costs. This can be compared to kilowatts (kW) to see electricity usage per month. Learn more about how this is calculated with [Resource units](resource_units), a way to measure the compute and storage capacity produced by hardware.
!!wiki.def alias:cloudunits

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# Cloud Units Advanced
## How is the price of Cloud Units (v4) calculated?
The following tables display how cloud units (v4) are calculated on the ThreeFold Grid. The 4th version of cloud units are used since Grid 2.2+ in mid 2020.
> Note: [Resource units](resource_units.md) are used to calculate SU & CU. Resource Units are used to measure compute and storage capacity produced by hardware.
### Compute Capacity
| CU (Compute Unit) | | | | |
| ------------------------------------- | --- | --- | ---- | --------------- |
| GB Memory | 4 | 8 | 2 | |
| nr vCPU | 2 | 1 | 4 | |
| Passmark Minimum (expected is double) | 500 | 250 | 1000 | CPU performance |
The passmark (CPU benchmark or alternative) is not measured on the grid yet. It is used in simulators to check the mechanisms and ensure enough performance per CU is delivered.
Example of Compute unit:
- 4 GB memory & 2 virtual CPU (and 50GB of SSD disk space)
- Recommended price on TF Grid = 10 USD
- Alternative cloud price = between 40 USD and 180 USD
See how we compare with the market compute prices [here](pricing).
### Storage Capacity
| SU (Storage Unit) | HDD | SSD |
| ------------------- | ---- | --- |
| GB Storage Capacity | 1200 | 200 |
HDD is only usable for Zero Database driven storage (e.g. ThreeFold Quantum Safe Storage). 1.2 TB of HDD is provided following the advised storage policy of 16+4 with 20% overhead. So the net usable storage would be 1TB. In other words, the SU corresponds in that case to 1TB of net usable storage and an extra 200GB for redundancy.
Example of Storage unit:
- 1TB of usable storage as provided by the Zero-DBs (the backend storage systems)
- Recommended price on TF Grid for 1 SU = 10 USD
- Alternative cloud price = between 20 USD and 200 USD
See how we compare with market storage prices [here](pricing).
### Network
| NU (Network Unit = per GB) = NRU per month | GB (NRU) |
| ------------------------------------------ | -------- |
| GB transferred OUT or IN | 1 |
> We use SU-month and CU-month to show SU monthly costs. This can be compared to kilowatts (kW) to see electricity usage per month. Learn more about how this is calculated with [Resource units](resource_units), a way to measure the compute and storage capacity produced by hardware.

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## Resource Units
Resource units are used to measure and convert capacity on the hardware level into cloud units: CU & SU.
| Unit Type | Description | Code |
| ------------ | ------------------------------------ | ---- |
| Core Unit | 1 Logical Core (Hyperthreaded Core) | CRU |
| Mem Unit | 1 GB mem | MRU |
| HD Unit | 1 GB | HRU |
| SSD Unit | 1 GB | SRU |
| Network Unit | 1 GB of bandwidth transmitted in/out | NRU |
These are raw capacities as measured by the ThreeFold software running on Zero-OS.
To learn how they convert into cloudunits see [here](resourceunits_advanced.md)

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# Resource Units Calculation
## Calculation from resource units to CU/SU for farming purposes
The threefold Zero-OS and TFChain software translates resource units (CRU, MRU, HRU, SRU) into cloud units (CU, SU) for farming reward purposes.
### Compute
For farming, 1 CU equals:
- 2 virtual CPUs with a maximum over subscription of 4 CPUs and minimum required memory of 4GB.
- An over subscription of 4 CPUs remains still gentle as we understand many other providers use more.
- There needs to be at least 50GB SSD per CU, if not there is penalty for nr of CU, reasoning is that otherwise people cannot deploy their VM's or Containers if there would not be minimal SSD.
```python
cu = min((mru - 1) / 4, cru * 4 / 2, sru / 50)
```
- 1 GB of memory is subtracted for the operating system to function.
- please note minimal passmark per CU (with 4GB mem), needs to be 1000 passmark at farming side, this is not being checked today but might be done in future. If your chosen CPU has less than 1000 passmark per CU (of 4 GB mem), it could be your final CU's will be lower once that feature is introduced.
### Storage
For farming, 1 SU equals to:
- 1.2 TB of HD capacity (which can deliver 1 TB of net usable storage)
- 200 GB of SSD capacity with a buffer of 20%
```python
su = hru / 1200 + sru * 0.8 / 200
```
#### Storage cost price verification Dec 2021
- price for 16 TB HDD = 300 USD
- 16000 / 1200 = 13.3 SU
- 1 SU costs = 300 / 13.3 = 22.5 for HDD
- price for 2 TB SSD = 200 USD
- 2000 * 0.8 / 200 = 8 SU
- 1 SU costs 200 / 8 = 25 for SSD
<!-- ## Change Log
- original non final specs from Summer 2021, was mentioned its not final.
- Dec 2021 update for launch v3.x
- there need to be at least 50 GB SSD capacity per CU
- was in the specs of farming reward but formula above did not take it into consideration, in others nonconsistenty between specs & formula.
- sru division to 200, was 300, to be more in line with HDD vs SSD pricing, this check needs to be done +- every 6 months, results in slightly more SU, which is good for farmers.
- Jan 2022 update for launch v3.x
- reverted change done in Dec, sru does not have to be deducted from cpu, results in increase of farming rewards, in other words good for farmers. Also good formula more easy.
- Introduced warning about minimum CPU requirements in relation to passmark.
-->