Software · head to head
Neon vs Vultr
The short version
- Each has a real cost: Neon compute pricing at $0.106-$0.222/CU-hour means costs scale directly with workload, unlike fixed-price alternatives; Vultr vultr Cloud Compute pricing as captured 31 December 2022 started at $5/month (1 vCPU, 1GB RAM, 25GB storage, 1TB transfer), scaling to $10/month and $20/month with more vCPU/RAM/storage; bandwidth overage billed at $0.01 to $0.05 per GB depending on plan
- They diverge on capability: Neon covers Serverless PostgreSQL, Vultr covers Cloud servers.
Where they differ
Only the attributes on which Neon and Vultr actually diverge.
Identical on both: starting price (Free), free tier (Yes), user rating (Not yet rated), category (Unknown).
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 Neon
- Serverless PostgreSQL
- Database Branching
- Autoscaling
- Bottomless Storage
- Point-in-time Recovery
- Connection Pooling
- Read Replicas
- Instant Cloning
Only in Vultr
- Cloud servers
- Bare metal servers
- Block storage
- Object storage
- Load balancers
- Kubernetes
- Firewalls
- Private networks
Both cover
- Cloud deployment
- Web support
What people use each for
The jobs each tool is most often brought in to do.
Neon
- Serverless applicationsnot Vultr
- Development databasesnot Vultr
- Preview environmentsnot Vultr
- Testingnot Vultr
Vultr
- High performance computingnot Neon
- Game serversnot Neon
- Streamingnot Neon
- Database hostingnot Neon
- Application serversnot Neon
Where each one falls short
Documented limitations, not opinions. Every one is a constraint you would hit in normal use.
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
Vultr
- Vultr Cloud Compute pricing as captured 31 December 2022 started at $5/month (1 vCPU, 1GB RAM, 25GB storage, 1TB transfer), scaling to $10/month and $20/month with more vCPU/RAM/storage; bandwidth overage billed at $0.01 to $0.05 per GB depending on plan
Pricing, plan by plan
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
Vultr
Free- Cloud Compute$2.5/month
- 512MB RAM
- 10GB SSD
- 500GB bandwidth
- Bare Metal$32/month
- Dedicated hardware
- High performance
- Full root access
Which should you pick?
Choose Neon if
- You need serverless postgresql.
- You want to start without paying.
- You work on Cloud.
- You also want database branching.
Choose Vultr if
- You need cloud servers.
- You want to start without paying.
- You work on Web, Api, Cli.
- You also want bare metal servers.
Questions people ask
- Is Neon or Vultr better?
- Neither clearly leads. Neon starts at Free and Vultr at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
- Which is cheaper, Neon or Vultr?
- Neon starts at Free and Vultr at Free.
- Does Neon or Vultr run on more platforms?
- Neon runs on Cloud. Vultr runs on Web, Api, Cli.
- Can I use Neon for free?
- Both have a free tier, so you can try either at no cost before committing.
- What is Neon best used for?
- Neon is most often used for serverless applications, development databases, preview environments, testing. Of those, serverless applications and development databases are not what Vultr is typically brought in for.
- What can Neon do that Vultr cannot?
- Neon covers Serverless PostgreSQL, Database Branching, Autoscaling, Bottomless Storage. Vultr covers Cloud servers, Bare metal servers, Block storage, Object storage. Both handle Cloud deployment, Web support.
Answered from the vendors’ own pages
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.
SourceNeon: 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.
SourceNeon: 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.
SourceNeon: 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.
SourceNeon: 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.
SourceRelated pages
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