In pricing computer network services, datacenters and hosting providers may use average usage billing as an alternative to “95th Percentile” or "burstable billing" billing methods.
In average usage billing, these host take measurements of your bandwidth usage every 5 minutes throughout the month. At the end of the monthly cycle, these measurements are added together and divided by the number of measurements taken. Measuring of bandwidth in this manner results in a true “average” usage reading for your bandwidth bill.
Using this method allows hosts customers to take advantage of the natural peaks and valleys that occur from day to day bandwidth usage and not be over charged.
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