Serverless computing is a bit of a misnomer. After all, the code and applications your business requires still have to run on something. With serverless computing, developers are fully isolated from the concepts of hardware and operating system management. Instead, the platform itself handles the dynamic provisioning and allocation of resources.

With serverless computing, code can be directly deployed to runtime environments without the developer having to manage anything except their code. Similar to other cloud service models, such as IaaS or PaaS, serverless computing offers organizations pay-per-use capabilities in an extremely cost-efficient model.

With IaaS or PaaS, you may pay to have environments running, even though they might not be fully utilized. Serverless computing, on the other hand, can frequently be purchased at a per-execution level, meaning that if your application isn't processing, it's not accruing costs.

Microsoft Azure Functions (https://azure.microsoft.com/en-us/services/functions/) and Amazon Web Services Lambda (https://aws.amazon.com/lambda/) are two commercial examples of serverless computing.

Depending on business requirements, organizations may wish to leverage one or more of these cloud service scenarios.