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1 GB of lambda provisioned concurrency is $10.95 USD a month in us-east-1.

That's what you pay for your lambda sitting there doing nothing.

You can get an on-demand ec2 instance with 1 GB of RAM, for $9.13 USD a month, or $6.87 if you get a reserved instance.

You can fully utilize those instances the whole month.

Yeah I used the ARM price. I should have pointed that out. It's definitely a tradeoff. Here's a few things I think are advantageous for Lambda,

* Integration with all the AWS Event Sources.

* Faster autoscaling.

* No need to setup a VPC (subnets, NAT gateway, security groups, VPC endpoints potentially, etc)

* No need to setup autoscaling, multi-AZ, etc.

* No need to support long lived instances.

I don't think one is always better than the other.