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API Gateway Costs: AWS API Gateway vs Self-Hosted

API Gateway Costs — AWS API Gateway vs Self-Hosted We break down the numbers so you can make an informed decision.

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API Gateway Costs: AWS API Gateway vs Self-Hosted


Understanding the true cost of your software stack is critical for making informed decisions. Whether you're a startup watching every dollar or an enterprise optimizing spend, the numbers matter.


The Problem with SaaS Pricing


Modern SaaS pricing is designed to grow with your usage. What starts as a reasonable $10/month can balloon to hundreds or thousands as your team scales. Per-seat pricing is particularly painful — every new hire increases your software costs.


Breaking Down the Numbers


Let's look at real-world cost scenarios:


**Small Team (5 people)**:

  • Cloud SaaS: $50-250/month across tools
  • Self-hosted on TinyPod: $5/month for unlimited users
  • Annual savings: $540-2,940

    • **Medium Team (25 people)**:

  • Cloud SaaS: $250-2,500/month
  • Self-hosted on TinyPod: $5-10/month (1-2 servers)
  • Annual savings: $2,880-29,880

    • **Large Team (100+ people)**:

  • Cloud SaaS: $1,000-10,000+/month
  • Self-hosted: $10-25/month (2-5 servers)
  • Annual savings: $11,700-119,700

    • What You Get for $5/Month Self-Hosting


    A single TinyPod server includes:


  • 4 CPU cores
  • 8 GB RAM
  • 75 GB NVMe SSD
  • Unlimited apps and users
  • Automatic SSL certificates
  • Daily encrypted backups
  • Custom domain support

    • Most teams can run 5-10 apps on a single server comfortably.


    The Total Cost of Ownership


    Self-hosting costs more than just the server fee. Factor in:


  • **Server cost**: $5/month on TinyPod
  • **Domain name**: $10-15/year
  • **Time investment**: ~30 minutes initial setup, then mostly hands-off
  • **Learning curve**: Minimal with managed platforms

    • Total annual cost: ~$75 vs thousands in SaaS subscriptions.


    How to Calculate Your Savings


    1. List every SaaS tool your team uses

    2. Note the monthly cost and user count for each

    3. Identify open-source alternatives (most exist)

    4. Calculate the server resources needed

    5. Compare: SaaS total vs server cost


    Use our calculator at tinypod.app/calculator for an instant estimate.


    Making the Switch


    Migration doesn't have to be all-or-nothing. Start with one tool:


    1. Deploy the open-source alternative on TinyPod

    2. Run it alongside your existing SaaS for a week

    3. Migrate data and switch over

    4. Cancel the SaaS subscription

    5. Repeat with the next tool


    Conclusion


    The economics of self-hosting have never been better. Managed platforms like TinyPod eliminate the ops burden while keeping costs at $5/month. For most teams, the question isn't whether to self-host — it's which tool to migrate first.


    Start your free trial at tinypod.app — deploy your first app in 60 seconds.