With virtualization, organizations began to realize greater utilization of physical hardware. That trend continued with the cloud, as organizations began to get their machines into a pay-as-you-go service. Cloud computing further evolved when Amazon Web Services (AWS) launched its Lambda service in 2014, introducing a new paradigm in cloud computing that has become commonly referred to as serverless computing. In the serverless model, organizations pay for functions as a service without the need to pay for an always-on stateful, virtual machine.
Read more at eWeek
