Azure Spot Virtual Machines offer deep discounts of up to 90% off standard on-demand pricing for unused Azure compute capacity. Spot VMs allow users to run workloads like batch processing jobs, rendering applications, and dev/test environments at significantly lower prices, but the VMs can be evicted if the current price rises above the maximum price bid set by the user. The cost savings are ideal for interruptible workloads that are not dependent on a specific VM remaining running at all times.