Besides what others commented about concurrent reqs in EC2 vs independent lambda execution costs, the trick considering all that is that Lambda is more efficient in terms of costs than EC2 UP UNTIL a certain amount of reqs/s, from that threshold onwards, the appropriate EC2 instance is cheaper. Engineers at BBVA came to this conclusion and wrote the whole analysis they made: https://www.bbva.com/en/innovation/economics-of-serverless/ Answer from HarrityRandall on reddit.com
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Trek10
trek10.com › homepage › blog listing › aws lambda pricing in context - a comparison to ec2
AWS Lambda vs EC2 Cost Comparison - Trek10 | Trek10
If you have a somewhat low utilization application, it’s not even close: Lambda is dramatically cheaper. I’ll illustrate that below with two simple examples to give you a sense of what “low utilization” means. Maximize Your AWS Investment with Trek10's 24/7 Monitoring
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Amazon Web Services
aws.amazon.com › compute › aws lambda › pricing
AWS Lambda Pricing
4 days ago - The table below contains a few examples of the price per 1 ms associated with different memory sizes, for usage falling within the first pricing tier – for example, up to 6 billion GB-seconds / month in US East (Ohio) ... Lambda on-demand duration pricing tiers are applied to aggregate monthly duration of your functions running on the same architecture (x86 or Arm, respectively), in the same region, within the account. If you’re using consolidated billing in AWS Organizations, pricing tiers are applied to the aggregate monthly duration of your functions running on the same architecture, in the same region, across the accounts in the organization.
Discussions

Why is everyone saying Lambda is more expensive than EC2?
Besides what others commented about concurrent reqs in EC2 vs independent lambda execution costs, the trick considering all that is that Lambda is more efficient in terms of costs than EC2 UP UNTIL a certain amount of reqs/s, from that threshold onwards, the appropriate EC2 instance is cheaper. Engineers at BBVA came to this conclusion and wrote the whole analysis they made: https://www.bbva.com/en/innovation/economics-of-serverless/ More on reddit.com
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May 23, 2023
How does one use the AWS Lamda Deploy task?
Glad to know that you have fixed this issue. You can go to https://docs.aws.amazon.com/vsts/latest/userguide/welcome.html for detailed information for AWS Toolkit for Microsoft Azure DevOps. More on reddit.com
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May 19, 2020
AWS Lambda Durable Functions - wait for async results, poll on an endpoint, or sleep with no CPU charges : aws
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AWS Health Dashboard Alerts (Lambda vs SNS vs SNS + Lambda) : aws
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People also ask

How much does AWS Lambda cost?
AWS Lambda uses a pay-as-you-use model and the cost entirely depends on your usage. The calculation is based on usage ($/invocation) and duration of computing ($/hour). Every month you get 1 million invocations and 3.2M seconds of compute time for free. After that it will cost $0.0000002 per invocation and about $0.0000166667 for every Gb/s of compute time.
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dashbird.io
dashbird.io › home › aws lambda cost calculator
AWS Lambda Cost Calculator - Dashbird
Is Lambda free in AWS?
AWS Lambda is free upto 1 million invocations and 3.2M seconds of compute time per month.
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dashbird.io
dashbird.io › home › aws lambda cost calculator
AWS Lambda Cost Calculator - Dashbird
How to calculate AWS Lambda cost?
The paid meter starts after your first 1 million invocations or 3.2M seconds of compute time. The cost of requests is $0.20 per 1 million requests, or $0.0000002 per request. The cost of duration is $0.00001667 for every GB-second used. Use our calculator to calculate AWS Lambda cost for you.
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dashbird.io
dashbird.io › home › aws lambda cost calculator
AWS Lambda Cost Calculator - Dashbird
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Cloudvisor
cloudvisor.co › home › aws services › is aws lambda free? understanding pricing and optimization
Is AWS Lambda Free? Understanding Pricing and Optimization
September 22, 2025 - AWS Lambda operates on a pay-per-use pricing model, which means you only pay for the compute time your functions consume. This model offers a free tier, which includes 1 million free requests per month and 400,000 GB-seconds of compute time ...
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Reddit
reddit.com › r/aws › why is everyone saying lambda is more expensive than ec2?
r/aws on Reddit: Why is everyone saying Lambda is more expensive than EC2?
May 23, 2023 -

Please help me work out the math here, as I think I am doing this wrong.

A Lambda of 128mb costs $0.0000000021/ms, this works out $0.00756/hour.

A Lambda of 512mb costs $0.0000000083/ms, this works out $0.02988/hour.

Now if you look at EC2:

t4g.nano $0.0042/hour (0.5 GiB ram)

t4g.micro	$0.0084/hour (1GiB ram).

But... the Lambda will likely not run 100% of the time, and will stay warm for 10 minutes (not sure here?). And the RAM usage would be much better utilized if you got a function running, rather than an entire VPC.

Given all that, if the function can run with 128mb or less, it seems like a no-brainer to use Lambda.

However, if the function is bigger, it would only make sense to put it in an EC2 if it runs more than 30% of the time ($0.0084/hour cost of t4g.micro divided by 0.02988/h cost of 512mb lambda).

So why is everyone against Lambdas citing costs as the primary reason...?

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Medium
medium.com › israeli-tech-radar › escaping-aws-lambda-costs-507167744d33
Escaping AWS Lambda costs. Tell me if this sounds familiar. You… | by Yoav Nordmann | Israeli Tech Radar | Medium
May 20, 2024 - Request Pricing: AWS charges per request for your Lambda functions. You pay for the total number of requests across all your functions: Number of Invocations * Price per Invocation
Find elsewhere
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AWS Fundamentals
awsfundamentals.com › blog › aws-lambda-pricing-a-complete-guide-to-understanding-the-cost-of-the-serverless-service
AWS Lambda Pricing: A Complete Guide
Learn about the pay-per-use pricing model of AWS Lambda and how it charges based on usage, runtime, and the number of requests.
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Edge Delta
edgedelta.com › company › blog › how-to-reduce-amazon-lamba-cost
Reduce Amazon Lambda Cost: 10 Effective Methods
March 13, 2025 - AWS Lambda’s price follows a pay-per-use model, where you are charged for each function request and execution time of your code.
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Dashbird
dashbird.io › home › aws lambda cost calculator
AWS Lambda Cost Calculator - Dashbird
December 10, 2021 - AWS Lambda uses a pay-as-you-use model and the cost entirely depends on your usage. The calculation is based on usage ($/invocation) and duration of computing ($/hour). Every month you get 1 million invocations and 3.2M seconds of compute time ...
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AWS re:Post
repost.aws › knowledge-center › lambda-memory-compute-cost
How do memory and computing power affect AWS Lambda cost? | AWS re:Post
March 10, 2023 - Duration calculates from the time ... For more information, see AWS Lambda Pricing. The price depends on the amount of memory that you allocate to your function. The amount of memory also determines ......
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Cloudchipr
cloudchipr.com › blog › aws-lambda-pricing
AWS Lambda Pricing Breakdown: Ultimate Guide 2025
AWS Lambda is a serverless compute service that runs your code without the need for managing servers. Its billed based on the number of requests, the duration of code execution, and a few additional factors—allowing you to pay only for what you use.
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CloudZero
cloudzero.com › home › blog › a simple guide to aws lambda pricing and cost management
A Simple Guide To AWS Lambda Pricing And Cost Management
December 12, 2024 - Prices are $0.60 per 1 million requests or $0.0000006 per request and $0.00005001 per GB-second you use. Say you allocate 128 MB of memory for each execution of your Lambda@Edge function.
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Amazon Web Services
docs.aws.amazon.com › aws lambda › developer guide › what is aws lambda?
What is AWS Lambda? - AWS Lambda
AWS Lambda is a compute service that runs code without the need to manage servers. Your code runs, scaling up and down automatically, with pay-per-use pricing.
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AWS
aws.amazon.com › blogs › compute › aws-lambda-introduces-tiered-pricing-for-amazon-cloudwatch-logs-and-additional-logging-destinations
AWS Lambda introduces tiered pricing for Amazon CloudWatch logs and additional logging destinations | Amazon Web Services
May 1, 2025 - Under the new pricing model, you are charged for sending your Lambda logs to CloudWatch Logs starting at $0.50 per GB for initial usage. As log volume increases, the price per GB automatically decreases through multiple tiers, reaching rates ...
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Dashbird
dashbird.io › home › aws lambda free tier: where are the limits?
AWS Lambda Price Explained (With Examples) | Dashbird
July 25, 2023 - This free tier does not automatically expire at the end of your 12 month AWS Free Tier term, but is available indefinitely. This means that you can run your Lambda functions for free, up to a certain limit.
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Amazon Web Services
amazonaws.cn › en › lambda › pricing
Amazon Lambda Pricing
4 days ago - The monthly request price is ¥1.36 per 1 million requests and the free tier provides 1M requests per month. Total requests – Free tier requests = Monthly billable requests(25M+5M+2.5M) requests – 1M free tier requests = 31.5M Monthly billable requests · Monthly request charges = 31.5M ...
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AWS
calculator.aws
AWS Pricing Calculator
AWS Pricing Calculator lets you explore AWS services, and create an estimate for the cost of your use cases on AWS.
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Amazon S3
s3.amazonaws.com › lambda-tools › pricing-calculator.html
AWS Lambda Pricing Calculator
The AWS Lambda pricing calculator helps determine the total cost executing Lambda functions per month.
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Lumigo
lumigo.io › guides › aws lambda 101 › aws lambda cost factors, cost comparisons and optimization [2024]
AWS Lambda Cost Factors, Cost Comparisons and Optimization [2024]
August 30, 2024 - AWS Lambda functions are billed on two different factors – the number of requests made, and the amount of work performed during those requests. For requests, AWS charges a flat rate of $.20 / 1 mln requests after a free buffer is consumed.
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Amazon Web Services
aws.amazon.com › products › compute › aws lambda
Serverless Function, FaaS Serverless - AWS Lambda - AWS
4 days ago - AWS Lambda is a serverless compute service for running code without having to provision or manage servers. You pay only for the compute time you consume.