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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Amazon Web Services
aws.amazon.com › compute › aws lambda › pricing
AWS Lambda Pricing
6 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.
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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...?

Discussions

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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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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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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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 $0.00001667 for every GB-second used. Use our calculator to calculate AWS Lambda cost for you.
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Dashbird
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AWS Lambda Cost Calculator - Dashbird
December 10, 2021 - AWS Lambda uses a pay-as-you-use model and the cost entirely depends on your usage. The calculation is based on usage ($/invocation) and duration of computing ($/hour). Every month you get 1 million invocations and 3.2M seconds of compute time ...
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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
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December 10, 2023 - AWS Lambda charges a nominal fee for every request. A request is counted each time your function code is executed in response to an event, such as an HTTP request through Amazon API Gateway or a new file upload to Amazon S3.
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s3.amazonaws.com › lambda-tools › pricing-calculator.html
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The AWS Lambda pricing calculator helps determine the total cost executing Lambda functions per month.
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Instances | Lambda
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AWS Lambda Pricing Explained Simply (and How to Stay in the Free Tier) – a beginner friendly guide | by Elaf Aziz | Medium
July 6, 2025 - • More memory can make your function run faster, but it also costs more per second. • The price is calculated based on how much memory you allocate multiplied by how long the function runs.
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May 16, 2025 - AWS Lambda pricing starts at $0.0000166667 per GB per second of runtime (GB-s).
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Quick Guide To AWS Lambda Pricing - CHARBEL NEMNOM - MVP | MCT | CCSP | CISM - Cloud & CyberSecurity
April 10, 2024 - Lambda runs your code only when needed and scales automatically, from a few daily requests to thousands per second. ... With AWS Lambda, you only pay for the compute time you consume. There are no charges when your code is not running, making it a cost-effective solution.
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AWS Lambda: pricing model and pitfalls - Brian Cline
July 11, 2020 - AWS Lambda currently charges $0.20USD per 1 million invocations which isn’t really the expensive part of the processing. The amount of memory allocated to a function is configurable and has a direct impact on the cost of the function and how ...
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September 17, 2025 - AWS provides a pricing calculator that allows you to estimate your Lambda costs based on your expected usage. To calculate compute charges, you can use the following formula: Compute charges = (Duration of function execution in milliseconds / 100) Memory allocated to the function in GB Price per GB-second
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Serverless: Zero-Friction Serverless Apps On AWS Lambda & Beyond.
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December 6, 2024 - Yes, AWS offers a free tier that includes 1 million free requests and 400,000 GB-seconds of compute time per month. How does Lambda integrate with other AWS services from a cost perspective?
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AWS Lambda Pricing: Know How To Control The Costs. - Softqube
February 15, 2024 - Table of Contents What is AWS Lambda Pricing AWS Lambda Pricing vs EC2 Amazon API Gateway Pricing Price Calculation of Serverless App Function Monitoring AWS Lambda Cost Optimization Strategies Synopsis: The ultimate purpose of this blog is to ascertain the AWS Lambda cost strategies and to prevent unexpectedly large AWS Lambda bills.
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