Softwr

Cloud · head to head

Lambda (AWS Serverless) vs Microsoft Azure

Lambda (AWS Serverless) logo

Lambda (AWS Serverless)

Cloud

Run code without thinking about servers

From
Free
Rated
-
Full reviewWebsite
Microsoft Azure logo

Microsoft Azure

Cloud

Open and flexible cloud services

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; Microsoft Azure the 12 months of free services is available only to new customers who have not previously had an Azure account or received 12 months of free services
  • They diverge on capability: Lambda (AWS Serverless) covers Function-as-a-Service, Microsoft Azure covers Virtual Machines.
  • Prices and features above were last checked on 30 August 2026.

Where they differ

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

Attributes where Lambda (AWS Serverless) and Microsoft Azure differ
AttributeLambda (AWS Serverless)Microsoft Azure
PlatformsWeb, ApiWeb, Api, Desktop, Mobile
Founded20142010

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 Microsoft Azure

  • Virtual Machines
  • App Service
  • SQL Database
  • Blob Storage
  • Azure Cosmos DB
  • Functions
  • Service Fabric
  • API Management

Both cover

  • Cloud deployment

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

Microsoft Azure

  • Cloud infrastructure and computingnot Lambda (AWS Serverless)
  • Database and storage servicesnot Lambda (AWS Serverless)
  • AI and machine learning servicesnot Lambda (AWS Serverless)
  • Enterprise application hostingnot 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

Microsoft Azure

  • The 12 months of free services is available only to new customers who have not previously had an Azure account or received 12 months of free services
  • The 12 months free offer is not available to customers who sign up directly for pay as you go in China and India
  • Customers who try Azure free must move to pay as you go within 30 days to keep receiving the 12 months of free services
  • Free services are capped at specified monthly amounts, and only some of them are always free

Pricing, plan by plan

Lambda (AWS Serverless)

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

Microsoft Azure

Free
  • Free AccountFree
    • $200 credit for 30 days
    • Popular services 12 months free
    • 40+ services always free

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 Microsoft Azure if

  • You need virtual machines.
  • You want to start without paying.
  • You work on Web, Api, Desktop, Mobile.
  • You also want app service.
Microsoft Azure review

Questions people ask

Is Lambda (AWS Serverless) or Microsoft Azure better?
Neither clearly leads. Lambda (AWS Serverless) starts at Free and Microsoft Azure at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Lambda (AWS Serverless) or Microsoft Azure?
Lambda (AWS Serverless) starts at Free and Microsoft Azure at Free.
Does Lambda (AWS Serverless) or Microsoft Azure run on more platforms?
Lambda (AWS Serverless) runs on Web, Api. Microsoft Azure runs on Web, Api, Desktop, Mobile.
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 Microsoft Azure is typically brought in for.
What can Lambda (AWS Serverless) do that Microsoft Azure cannot?
Lambda (AWS Serverless) covers Function-as-a-Service, Event-driven execution, Auto-scaling, Pay-per-use. Microsoft Azure covers Virtual Machines, App Service, SQL Database, Blob Storage. Both handle Cloud deployment.

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
Microsoft Azure: How much does Microsoft Azure cost?

Azure uses consumption-based pricing where you pay only for resources used and scale as you grow, with no fixed monthly fee. Prices are listed in USD globally, and pricing varies by service, region, and usage patterns.

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
Microsoft Azure: How can I save money on Azure services?

Azure offers savings up to 65% on select compute services through Azure Savings Plans with one- or three-year commitments. Using Azure Hybrid Benefit with existing Windows Server and SQL Server licenses plus reservations can save up to 85% compared to standard rates.

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
Microsoft Azure: Does Azure offer a free tier?

Azure provides free tier services for new users and perpetually free options, including free Spot Virtual Machines, dev/test pricing for development workloads, and access to the Azure Pricing Calculator to estimate monthly costs before deployment.

Source
Share

Related pages

More on Lambda (AWS Serverless)

More on Microsoft Azure

Keep looking

Other head to heads