Lambda Managed Instances is a new AWS feature that allows Lambda functions to run on dedicated EC2 instances from your account while AWS handles management tasks. Unlike standard Lambda, execution environments can handle multiple concurrent requests, you pay for uptime rather than execution time (EC2 cost plus 15% premium), and there are no cold starts but slower scaling. Best suited for high-throughput workloads with consistent traffic where cost efficiency matters, but not ideal for bursty or unpredictable traffic patterns. Code must be thread-safe to handle concurrent requests safely.
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