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AI · head to head

Modal vs Neon

Modal logo

Modal

AI

Cloud functions for AI and ML

From
Free
Rated
-
Neon logo

Neon

Cloud

Serverless Postgres for modern developers

From
Free
Rated
-

The short version

  • Each has a real cost: Modal the Team plan carries a $250 monthly base fee and returns only $100 of that as free credits, so $150 is a flat charge before any compute; Neon compute pricing at $0.106-$0.222/CU-hour means costs scale directly with workload, unlike fixed-price alternatives
  • They diverge on capability: Modal covers Serverless GPUs, Neon covers Serverless PostgreSQL.
  • Prices and features above were last checked on 30 August 2026.

Where they differ

Only the attributes on which Modal and Neon actually diverge.

Attributes where Modal and Neon differ
AttributeModalNeon
Pricing modelusage-basedUnknown
PlatformsCloud, ApiCloud
CategoryAICloud

Identical on both: starting price (Free), free tier (Yes), user rating (Not yet rated), founded (2021).

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 Modal

  • Serverless GPUs
  • Python functions
  • Auto-scaling
  • Fast cold starts
  • Python SDK
  • GitHub Actions
  • Cloud storage
  • Cloud support

Only in Neon

  • Serverless PostgreSQL
  • Database Branching
  • Autoscaling
  • Bottomless Storage
  • Point-in-time Recovery
  • Connection Pooling
  • Read Replicas
  • Instant Cloning

What people use each for

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

Modal

  • Running serverless GPU workloads for model inference and trainingnot Neon
  • Executing Python functions on cloud compute without managing serversnot Neon

Neon

  • Serverless applicationsnot Modal
  • Development databasesnot Modal
  • Preview environmentsnot Modal
  • Testingnot Modal

Where each one falls short

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

Modal

  • The Team plan carries a $250 monthly base fee and returns only $100 of that as free credits, so $150 is a flat charge before any compute
  • Compute is billed per second across separate GPU and CPU meters, so total cost depends on execution time rather than any fixed rate
  • The Starter plan's $30 monthly free credit is the only allowance below the paid base fee
  • Enterprise volume discounts are custom and unpublished

Neon

  • Compute pricing at $0.106-$0.222/CU-hour means costs scale directly with workload, unlike fixed-price alternatives
  • Separation of compute and storage may add complexity to cost prediction compared to all-in-one plans

Pricing, plan by plan

Modal

Free
  • StarterFree
    • 3 seats
    • 100 containers
    • 10 GPU concurrency
  • Team$250/month
    • Unlimited seats
    • 5,000 containers
    • 50 GPU concurrency
  • Enterprise$null/custom
    • Custom seats, containers, and GPU concurrency

Neon

Free
  • FreeFree
    • 100 CU-hours/month
    • 0.5 GB storage
    • 1 project
  • Launch$15/month
    • Pay-as-you-go compute
    • $0.35/GB storage
    • Multiple projects
  • Scale$31/month
    • Higher compute rates
    • 99.95% SLA
    • HIPAA compliance

Which should you pick?

Choose Modal if

  • You need serverless gpus.
  • You want to start without paying.
  • You work on Cloud, Api.
  • You also want python functions.

Choose Neon if

  • You need serverless postgresql.
  • You want to start without paying.
  • You work on Cloud.
  • You also want database branching.

Questions people ask

Is Modal or Neon better?
Neither clearly leads. Modal starts at Free and Neon at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Modal or Neon?
Modal starts at Free and Neon at Free.
Does Modal or Neon run on more platforms?
Modal runs on Cloud, Api. Neon runs on Cloud.
Can I use Modal for free?
Both have a free tier, so you can try either at no cost before committing.
What is Modal best used for?
Modal is most often used for running serverless gpu workloads for model inference and training, executing python functions on cloud compute without managing servers. Of those, running serverless gpu workloads for model inference and training and executing python functions on cloud compute without managing servers are not what Neon is typically brought in for.
What can Modal do that Neon cannot?
Modal covers Serverless GPUs, Python functions, Auto-scaling, Fast cold starts. Neon covers Serverless PostgreSQL, Database Branching, Autoscaling, Bottomless Storage.

Answered from the vendors’ own pages

Modal: How much does Modal cost?

Modal uses pay-as-you-go pricing with Team plan at 250 USD/month base. Starter includes 30 USD/month free credits; Team includes 100 USD/month free credits. Compute charges per second for CPU cores, memory, and GPU instances.

Source
Neon: What is Neon and what makes it different?

Neon is a serverless PostgreSQL database that separates compute and storage, enabling automatic scaling and instant database branching. After acquisition by Databricks in May 2025, pricing has been significantly reduced.

Source
Modal: Is there a free tier?

Yes, Starter plan is free plus 30 USD/month in compute credits included monthly for new users.

Source
Neon: Does Neon offer a free tier?

Yes, Neon's free tier includes 100 compute units per month and 0.5 GB of storage. This is suitable for development and small projects.

Source
Modal: What are the seat limits?

Starter plan includes 3 seats; Team plan provides unlimited seats; Enterprise tier has custom seat allocations.

Source
Neon: What are the paid plans and pricing for Neon?

Neon offers consumption-based pricing on Launch ($0.106/CU-hour, approximately $15/month) and Scale ($0.222/CU-hour, approximately $31/month) plans with separate storage billing at $0.35/GB-month. No monthly minimum required.

Source
Neon: What features does Neon provide?

Neon includes git-like branching for database copies, point-in-time recovery, data anonymization for testing, managed authentication, serverless functions, and object storage that branches with projects.

Source
Neon: What compliance and reliability guarantees does Neon provide?

Neon's Scale tier offers 99.95% uptime SLA, HIPAA compliance, SOC2 certification, and private networking via PrivateLink at no extra cost.

Source
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