Cloud · head to head
AWS (Amazon Web Services) vs Lambda Labs
The short version
- Only AWS (Amazon Web Services) has a free tier, so it costs nothing to try first.
- Each has a real cost: AWS (Amazon Web Services) data transfer in is free and data transfer out is charged, which is the standard source of unexpected bills; Lambda Labs on demand capacity is first come access rather than guaranteed, so an instance type can be unavailable when needed
- They diverge on capability: AWS (Amazon Web Services) covers EC2 - Virtual Servers, Lambda Labs covers NVIDIA GPUs.
Where they differ
Only the attributes on which AWS (Amazon Web Services) and Lambda Labs actually diverge.
| Attribute | AWS (Amazon Web Services) | Lambda Labs |
|---|---|---|
| Starting price | Free | $1.1/per-hour |
| Free tier | Yes | No |
| Platforms | Web, Api, Cli, Mobile | Cloud |
| Category | Cloud | AI |
| Founded | 2006 | 2012 |
Identical on both: pricing model (usage-based), user rating (Not yet rated).
What each one covers
Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.
Only in AWS (Amazon Web Services)
- EC2 - Virtual Servers
- S3 - Object Storage
- RDS - Managed Database
- Lambda - Serverless Computing
- CloudFront - CDN
- VPC - Virtual Network
- IAM - Access Management
- CloudWatch - Monitoring
Only in Lambda Labs
- NVIDIA GPUs
- Pre-installed frameworks
- Persistent storage
- SSH access
- JupyterLab
- VSCode
- SSH
- Cloud support
What people use each for
The jobs each tool is most often brought in to do.
AWS (Amazon Web Services)
- Web hostingnot Lambda Labs
- Data storagenot Lambda Labs
- Machine learningnot Lambda Labs
- Big data analyticsnot Lambda Labs
- Application developmentnot Lambda Labs
Lambda Labs
- Renting GPU instances for model training and inferencenot AWS (Amazon Web Services)
- Short term access to high memory accelerators without buying hardwarenot AWS (Amazon Web Services)
Where each one falls short
Documented limitations, not opinions. Every one is a constraint you would hit in normal use.
AWS (Amazon Web Services)
- Data transfer in is free and data transfer out is charged, which is the standard source of unexpected bills
- Discounts require one or three year Savings Plan commitments rather than being automatic
- Every service is priced separately, so a working architecture has no single published cost
- The free tier is a promotional allowance rather than an ongoing free plan
Lambda Labs
- On demand capacity is first come access rather than guaranteed, so an instance type can be unavailable when needed
- H100 pricing varies within a band, at $3.99 to $4.29 an hour per GPU, so the rate is not fixed
- Reserved capacity is arranged by contacting the team rather than self serve
- Prices are quoted before applicable tax
Pricing, plan by plan
AWS (Amazon Web Services)
Free- AWS Free TierFree
- EC2 750 hours/month
- 5GB S3 storage
- 20GB data transfer
- Pay-As-You-GoFree
- No upfront payment
- No long-term commitments
- Pay only for what you use
Lambda Labs
$1.1/per-hour- On-Demand$1.1/per-hour
- A10 GPU
- Instant availability
- ReservedFree
- Volume discounts
- Guaranteed capacity
Which should you pick?
Choose AWS (Amazon Web Services) if
- You need ec2 - virtual servers.
- You want to start without paying.
- You work on Web, Api, Cli, Mobile.
- You also want s3 - object storage.
Choose Lambda Labs if
- You need nvidia gpus.
- You work on Cloud.
- You also want pre-installed frameworks.
Questions people ask
- Is AWS (Amazon Web Services) or Lambda Labs better?
- Neither clearly leads. AWS (Amazon Web Services) starts at Free and Lambda Labs at $1.1/per-hour, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
- Which is cheaper, AWS (Amazon Web Services) or Lambda Labs?
- AWS (Amazon Web Services) has a free tier; the other does not. Paid plans start at Free for AWS (Amazon Web Services) and $1.1/per-hour for Lambda Labs.
- Does AWS (Amazon Web Services) or Lambda Labs run on more platforms?
- AWS (Amazon Web Services) runs on Web, Api, Cli, Mobile. Lambda Labs runs on Cloud.
- Can I use AWS (Amazon Web Services) for free?
- Yes. AWS (Amazon Web Services) has a free tier, so you can try it without paying. Lambda Labs starts at $1.1/per-hour.
- What is AWS (Amazon Web Services) best used for?
- AWS (Amazon Web Services) is most often used for web hosting, data storage, machine learning, big data analytics. Of those, web hosting and data storage are not what Lambda Labs is typically brought in for.
- What can AWS (Amazon Web Services) do that Lambda Labs cannot?
- AWS (Amazon Web Services) covers EC2 - Virtual Servers, S3 - Object Storage, RDS - Managed Database, Lambda - Serverless Computing. Lambda Labs covers NVIDIA GPUs, Pre-installed frameworks, Persistent storage, SSH access.
Answered from the vendors’ own pages
AWS (Amazon Web Services): What are AWS's payment options and pricing models?
AWS offers four pricing approaches: pay-as-you-go (you pay only for what you use), flat-rate plans combining multiple services into one monthly price without overages, Savings Plans offering discounts on compute and machine learning with 1- or 3-year commitments, and volume-based tiered pricing where costs decrease as usage increases.
SourceLambda Labs: What does Lambda Labs GPU pricing depend on?
Lambda Labs pricing depends on the GPU model (H100, B200, A100, V100, etc.), cluster size, and contract length. For example, a 16-GPU H100 cluster costs $6.16/GPU/hour for 2 weeks to 1 year, while A100 GPUs are $1.99-$2.79/GPU/hour.
SourceAWS (Amazon Web Services): Are there contracts, termination fees, or commitments required for AWS?
No long-term contracts are required for AWS services. No termination fees apply once you stop using the service. Savings Plans provide optional 1- or 3-year commitments with discounted hourly rates, but you can revert to pay-as-you-go pricing anytime.
SourceLambda Labs: Are there volume discounts for larger GPU clusters?
Yes. Pricing decreases with larger cluster orders. For example, NVIDIA H100 clusters cost $6.16/GPU/hour for 16 GPUs, $5.85/GPU/hour for 64 GPUs, and $5.54/GPU/hour for 256 GPUs (all for 2 weeks to 1 year terms).
SourceAWS (Amazon Web Services): Does AWS offer a free tier?
AWS provides a free tier that offers hands-on experience with AWS products at no charge. The free tier allows new customers to try eligible services before committing to paid usage.
SourceLambda Labs: Can I get custom pricing for a long-term GPU contract?
Yes. For cluster orders of 16+ GPUs with 1-year or longer contracts, Lambda Labs offers custom pricing. Contact their sales team to request a quote.
SourceAWS (Amazon Web Services): How do I estimate my AWS costs?
AWS provides the AWS Pricing Calculator and Cost Explorer tool to estimate costs for single or multiple services. AWS also offers cost optimization recommendations, performance reporting, and budget alerts to help track and control spending.
SourceLambda Labs: What additional costs should I expect beyond the hourly GPU rate?
All listed prices are plus applicable sales tax, VAT, or GST depending on your location.
SourceRelated pages
More on AWS (Amazon Web Services)
More on Lambda Labs
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