Each Lambda function must be configured with a memory setting, which indirectly controls the amount of CPU and networking performance allocated. In many environments, memory settings are defined arbitrarily or left unchanged as functions evolve. Over time, this leads to overprovisioning — with functions running well below their allocated memory and incurring unnecessary compute costs. Systematic right-sizing using performance benchmarks can significantly reduce spend without sacrificing performance or reliability. This is especially important for frequently invoked functions or those with long execution times.
Lambda is billed based on:
Overprovisioning memory leads to unnecessary cost without meaningful performance improvement, especially if functions complete within modest CPU and memory bounds.