Latest / The Cloud Business Podcast with Fexingo: AWS, Azure, GCP, and Enterprise Infrastructure
Cloud Contracts Now Charge for Serverless Cold Start Penalties
Episode 116 of The Cloud Business Podcast examines a new pricing line appearing in AWS, Azure, and GCP contracts: cold start penalties for serverless functions. Lucas walks through how Lambda, Cloud Functions, and Azure Functions now impose surcharges when invocation frequency drops below a threshold, effectively penalizing spiky or intermittent workloads. He cites AWS's updated Lambda pricing page from April 2026, which introduced a $0.000003 per millisecond penalty for cold starts exceeding 100ms. Luna questions whether this undermines serverless's original promise of 'pay…
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