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Netlify Functions vs AWS Lambda: Which is Better in 2026?

Choosing between Netlify Functions and AWS Lambda comes down to understanding what each tool does best. This comparison breaks down the key differences so you can make an informed decision based on your specific needs, not marketing claims.

Bottom line: AWS Lambda is our overall pick for serverless workflows. Pick Netlify Functions if you need a free tier to start with.

··Methodology
Editor reviewed0 verified reviews comparedPricing checked May 2026

Short on time? Here's the quick answer

We've tested both tools. Here's who should pick what:

Netlify Functions

Serverless functions for Netlify sites

Best for you if:

  • • You want to try before committing
  • Netlify Functions provides serverless backend capabilities on Netlify
  • It deploys AWS Lambda functions alongside your frontend automatically

AWS Lambda

Run code without managing servers, pay only for compute time

Best for you if:

  • AWS Lambda lets you run code without provisioning servers-just upload your function and it scales automatically
  • It executes code in response to events from 200+ AWS services, charging only for compute time used
At a Glance
Netlify FunctionsNetlify Functions
AWS LambdaAWS Lambda
Starts at
$19/moPro
$0.20/million/moPay-as-you-go
Best For
ServerlessServerless
Rating
--

Choose Netlify Functions or AWS Lambda?

Netlify Functions

Choose Netlify Functions if

Serverless functions for Netlify sites

  • Easy serverless
  • Netlify integration
  • Good DX
AWS Lambda

Choose AWS Lambda if

Run code without managing servers, pay only for compute time

  • Industry-standard serverless platform
  • Integrates with entire AWS ecosystem
  • Scales automatically to any load
FeatureNetlify FunctionsAWS Lambda
Pricing ModelFreemiumPaid
User RatingNo ratings yet
4.6/5
1,079 reviews
Categories
ServerlessHosting & Deployment
ServerlessCloud & Infrastructure

In-Depth Analysis

Netlify FunctionsNetlify Functions

Serverless functions for Netlify sites

Strengths

  • +Easy serverless
  • +Netlify integration
  • +Good DX
  • +Fair free tier
  • +Active development

Weaknesses

  • -Vendor lock-in
  • -Execution limits
  • -Cold starts
  • -Per-invocation pricing
  • -Better for simple use

Key features

Serverless functionsGit deployBackground functionsScheduledNetlify integrationEasy setup
Starts at $19/mo

AWS LambdaAWS Lambda

Run code without managing servers, pay only for compute time

Strengths

  • +Industry-standard serverless platform
  • +Integrates with entire AWS ecosystem
  • +Scales automatically to any load
  • +Pay only for compute time used
  • +Supports many languages and runtimes

Weaknesses

  • -Cold starts can affect latency
  • -Complex pricing model
  • -15-minute execution time limit
  • -Debugging can be challenging
  • -Vendor lock-in with AWS services

Key features

Serverless computeEvent-drivenAuto-scalingPay-per-useMultiple runtimesAWS integration
Starts at $0.20/million/mo

Pricing: Netlify Functions vs AWS Lambda

PlanNetlify FunctionsAWS Lambda
Tier 1
Free
Free
$0
Free Tier
Tier 2
$19
Pro
$0.20/million
Pay-as-you-go
Tier 3N/A
$0.16/million
Graviton2 (ARM)
Tier 4N/A
Up to 17% off
Savings Plans

Pricing verified from each vendor's public pricing page. Compare in detail on Netlify Functions pricing and AWS Lambda pricing.

Who Should Use What?

On a budget?

Netlify Functions has a free tier. AWS Lambda is paid only.

Go with: Netlify Functions

Want the highest-rated option?

Neither has user reviews yet.

Go with: Netlify Functions

Value user reviews?

Neither has user reviews yet.

Go with: AWS Lambda

3 Questions to Help You Decide

1

What's your budget?

Netlify Functions is freemium. AWS Lambda is paid. Netlify Functions lets you start free.

2

What's your use case?

Both are serverless tools. Compare their specific features to decide.

3

How important are ratings?

Neither has user reviews yet.

Key Takeaways

AWS Lambda

  • Our pick for this comparison

Netlify Functions

  • Has a free tier

The Bottom Line

AWS Lambda is our pick. Netlify Functions has a free tier if you want to test without paying.

Frequently Asked Questions

Is Netlify Functions or AWS Lambda better?

AWS Lambda is rated in our evaluation. Netlify Functions is freemium and AWS Lambda is paid.

What are Netlify Functions and AWS Lambda used for?

Netlify Functions: Serverless functions for Netlify sites. AWS Lambda: Run code without managing servers, pay only for compute time.

What does Netlify Functions cost vs AWS Lambda?

Netlify Functions is freemium (free tier + paid plans). AWS Lambda is a paid tool. Visit their websites for detailed pricing.

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