Applications running on App Service V2 plans may incur higher operational costs and degraded performance compared to V3 plans. V2 uses older hardware generations that lack access to platform-level enhancements introduced in V3, including improved cold start times, faster scaling, enhanced networking options, and eligibility for commitment-based discounts.

This inefficiency often arises from legacy deployments or default provisioning choices that haven't been revisited. Without proactive review, teams may continue running production workloads on suboptimal infrastructure—paying more for less performance and missing available savings.