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Lambda (AWS Serverless) vs Azure Functions

Lambda (AWS Serverless) logo

Lambda (AWS Serverless)

Cloud

Run code without thinking about servers

From
Free
Rated
-
Full reviewWebsite
Azure Functions logo

Azure Functions

Cloud

Event-driven serverless compute on Azure

From
Free
Rated
-
Full reviewWebsite

The short version

  • Each has a real cost: Lambda (AWS Serverless) billed on two axes at once, $0.20 per million requests plus $0.0000166667 per GB-second of duration, so memory settings change the bill as much as traffic does; Azure Functions consumption plan free grant is capped at 1 million executions and 400,000 GB-seconds of resource consumption per month per subscription, billed per GB-second beyond that
  • Prices and features above were last checked on 30 August 2026.

Where they differ

Only the attributes on which Lambda (AWS Serverless) and Azure Functions actually diverge.

Attributes where Lambda (AWS Serverless) and Azure Functions differ
AttributeLambda (AWS Serverless)Azure Functions
PlatformsWeb, ApiWeb
Founded2014Unknown

Identical on both: starting price (Free), pricing model (usage-based), free tier (Yes), user rating (Not yet rated), category (Cloud).

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 Lambda (AWS Serverless)

  • Function-as-a-Service
  • Event-driven execution
  • Auto-scaling
  • Pay-per-use
  • Multiple languages
  • Concurrency limits
  • Dead Letter Queues
  • Environment variables

Only in Azure Functions

Nothing recorded that Lambda (AWS Serverless) does not also cover.

What people use each for

The jobs each tool is most often brought in to do.

Lambda (AWS Serverless)

  • Event-driven functions without managing serversnot Azure Functions
  • API backends behind API Gatewaynot Azure Functions
  • Processing S3, DynamoDB, SQS and Kinesis eventsnot Azure Functions
  • Scheduled jobs without a always-on instancenot Azure Functions
  • Edge compute through Lambda@Edgenot Azure Functions

Azure Functions

  • Event-driven computingnot Lambda (AWS Serverless)
  • Serverless application backendnot Lambda (AWS Serverless)
  • Scalable API endpointsnot Lambda (AWS Serverless)

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Lambda (AWS Serverless)

  • Billed on two axes at once, $0.20 per million requests plus $0.0000166667 per GB-second of duration, so memory settings change the bill as much as traffic does
  • Provisioned concurrency, used to avoid cold starts, is charged separately at $0.0000041667 per GB-second whether or not the function runs
  • Ephemeral storage beyond the included 512 MB is metered
  • Lambda@Edge costs $0.60 per million requests, three times the standard request rate
  • VPC use and cross-region data transfer carry EC2 charges on top

Azure Functions

  • Consumption plan free grant is capped at 1 million executions and 400,000 GB-seconds of resource consumption per month per subscription, billed per GB-second beyond that
  • The newer Flex Consumption plan's free grant is smaller still, at 250,000 executions and 100,000 GB-seconds per month
  • Premium plan avoids per-execution charges but bills continuously for allocated core seconds and memory regardless of invocation volume
  • Memory is rounded up to the nearest 128 MB and execution time to the nearest 1 ms for billing, so small overages round upward

Pricing, plan by plan

Lambda (AWS Serverless)

Free
  • Free TierFree
    • 1M free requests/month
    • 400,000 GB-seconds/month
    • Always free

Azure Functions

Free
  • Consumption Plan$null/month
    • 1 million requests free monthly
    • 400,000 GB-seconds free monthly
    • Billed per second and executions
  • Flex Consumption Plan$null/month
    • 250,000 executions free monthly
    • 100,000 GB-seconds free monthly
    • Event-driven scaling
  • Premium Plan$null/month
    • No execution charges
    • At least one instance required
    • Includes automatic scaling and VNET access

Which should you pick?

Choose Lambda (AWS Serverless) if

  • You need function-as-a-service.
  • You want to start without paying.
  • You work on Web, Api.
  • You also want event-driven execution.
Lambda (AWS Serverless) review

Choose Azure Functions if

  • You want to start without paying.
Azure Functions review

Questions people ask

Is Lambda (AWS Serverless) or Azure Functions better?
Neither clearly leads. Lambda (AWS Serverless) starts at Free and Azure Functions at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Lambda (AWS Serverless) or Azure Functions?
Lambda (AWS Serverless) starts at Free and Azure Functions at Free.
Does Lambda (AWS Serverless) or Azure Functions run on more platforms?
Lambda (AWS Serverless) runs on Web, Api. Azure Functions runs on Web.
Can I use Lambda (AWS Serverless) for free?
Both have a free tier, so you can try either at no cost before committing.
What is Lambda (AWS Serverless) best used for?
Lambda (AWS Serverless) is most often used for event-driven functions without managing servers, api backends behind api gateway, processing s3, dynamodb, sqs and kinesis events, scheduled jobs without a always-on instance. Of those, event-driven functions without managing servers and api backends behind api gateway are not what Azure Functions is typically brought in for.
What can Lambda (AWS Serverless) do that Azure Functions cannot?
Lambda (AWS Serverless) covers Function-as-a-Service, Event-driven execution, Auto-scaling, Pay-per-use.

Answered from the vendors’ own pages

Lambda (AWS Serverless): Is there a free tier for AWS Lambda?

Yes. AWS Lambda offers a free tier including 1 million requests per month, 400,000 GB-seconds per month, and 100 GB monthly response streaming.

Source
Azure Functions: Does Azure Functions have a free tier?

Yes, Azure Functions includes a monthly free grant of 1 million requests and 400,000 GB-seconds on the Consumption Plan, or 250,000 executions and 100,000 GB-seconds on Flex Consumption.

Source
Lambda (AWS Serverless): How is AWS Lambda charged?

Lambda charges $0.20 per million requests. Duration charges are $0.0000166667 per GB-second for x86 (up to 6 billion GB-seconds/month in US East Ohio with tiered pricing). Ephemeral storage over the included 512 MB costs $0.0000000309 per GB-second. Provisioned Concurrency costs $0.0000041667 per GB-second with a 5-minute minimum.

Source
Azure Functions: What is Azure Functions' pricing model?

Azure Functions uses usage-based pricing. Consumption plans charge per second of resource consumption and per execution, measured in gigabyte-seconds and rounded to the nearest 128 MB.

Source
Lambda (AWS Serverless): What are Lambda Durable Functions pricing?

Lambda Durable Functions include operations at $8.00 per million (start execution, steps, waits). Data written costs $0.25 per GB. Data retention is $0.15 per GB-month with configurable 1-90 day retention (default 14 days).

Source
Azure Functions: What is the minimum execution time for Azure Functions?

The minimum execution time is 100 milliseconds on Consumption plans. Premium plans charge based on core seconds and allocated memory.

Source
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