by Kunal Kande and Mike Jerome
Most managed operational databases force you into a corner: choose "Serverless" for flexibility but pay a premium, or choose "Provisioned" for a lower unit price but lose agility. That’s a false choice. Today, we’re introducing Always-On pricing for Databricks Lakebase: Serverless flexibility with a predictable, low price for baseline usage. Set your compute scaling parameters and automatically receive a 25% lower price on your baseline capacity.
Why this matters:
Stop spending your evenings and weekends tuning instances. Flip the toggle, keep your performance, and keep more of your budget.
Postgres products in the cloud have historically forced operators to choose between two options. Legacy provisioned products require payment for peak usage continuously, resulting in oversizing to absorb demand spikes. Serverless products scale elastically, but the per-hour rate is materially higher, making it expensive for workloads that never go idle. Switching between the two meant downtime or maintenance.
Lakebase has already removed several Postgres trade-offs, such as separating storage from compute, pushing full-page writes into the storage layer, and adding instant branching. Always-On pricing innovates the commercial model: the tradeoff between a predictable, lower-cost baseline and elastic compute that absorbs spikes is gone. You don’t pick one architecture for each. You get both on the same database.
If needed, turn it back on later, and your instance reverts to standard autoscaling pricing.

Most managed PostgreSQL products force a structural choice between a provisioned and a serverless version at provisioning time. To get a better price for your 24/7 workloads, you can either choose a provisioned product and pay for underutilized capacity or make a multi-year, use-it-or-lose-it commitment on a serverless product.
Lakebase | Leading Serverless PostgreSQL products | Leading Provisioned PostgreSQL products | |
Lower baseline rate without commitment | ✅ | ❌ Requires a 1 to 3-year commitment | ❌ Provision for peak, not the baseline |
No penalty for changing your baseline | ✅ | ❌ You continue to pay for reservations or a savings plan regardless of the usage | ❌ You pay for underutilized provisioned capacity or deal with downtime to migrate to a smaller provisioned compute instance |
Autoscaling for unpredictable peaks on the same instance | ✅ | ✅ | ❌ |
Use Always-On for established baselines. Production workloads whose load history shows a consistent floor of activity with peaks layered on top never benefited from scale-to-zero because the compute never idled. Until today, they had been paying the standard Autoscaling rate for every CU-hour. From today, the baseline portion bills at a 25% lower price, and autoscaling still handles the peaks.
Keep scale-to-zero for new or intermittent workloads. For a new project, you usually don't know. You don't have the load history to set a sensible minimum CU, and the cost of guessing wrong is real: too high and you'll pay for headroom you don't need; too low and autoscaling will spend most of its time above the minimum, defeating the point of the lower rate. This is exactly why scale-to-zero is now the default for new projects. Learn the workload's shape over a few weeks, then make an informed call.
For a workload with an intermittent load, keep scale-to-zero enabled. For a database that's idle 75% of the time, you are much better off paying $0 for those hours. If your autoscaling history shows the compute spending much of its time at zero, leave scale-to-zero enabled.
Open your Lakebase project, turn off scale-to-zero, and set a minimum CU that reflects your real baseline. That is the entire configuration change. After 24 hours of continuous use, your baseline capacity is billed at the Always-On rate automatically, and autoscaling remains in place when traffic spikes. No commitment to sign, no new product to provision, no downtime to schedule.
Stack the additional 50% promotional discount running through January 31, 2027, on top, and your Postgres bill just got a lot smaller. Get started with Lakebase today or review the full pricing at https://www.databricks.com/product/pricing/lakebase.
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