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Lambda vs EC2: Which is more cost-effective?

An example of an AI chatbot conversation about comparing AWS Lambda and EC2 costs.

😀
You

Can you explain the cost differences between AWS Lambda and EC2?

MagicBuddy
MagicBuddy

Sure! AWS Lambda charges based on the number of requests and the duration of code execution, while EC2 charges for the instance type and uptime.

😀
You

Which one is generally cheaper for small applications?

MagicBuddy
MagicBuddy

For small applications with sporadic usage, AWS Lambda is often cheaper since you only pay for what you use. EC2 can be more cost-effective for consistent workloads.

😀
You

What about scaling? How do they compare?

MagicBuddy
MagicBuddy

Lambda automatically scales with the number of requests, while EC2 requires manual scaling or setting up auto-scaling groups.

😀
You

Are there any hidden costs I should be aware of?

MagicBuddy
MagicBuddy

Yes, with Lambda, you might incur costs for data transfer and additional services like API Gateway. EC2 can have costs for storage and data transfer as well.

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