Figma's $300K daily AWS costs expose a critical issue for modern SaaS companies: the risks of heavy reliance on a single cloud provider. As revealed in its recent IPO filing, Figma's staggering $300,000 daily expenditure on Amazon Web Services (AWS) highlights both the scalability benefits and the vulnerabilities tied to centralized cloud infrastructure. This eye-opening figure underscores the challenges of balancing performance, cost, and dependency in a cloud-driven world. In this blog, we’ll explore the implications of Figma’s cloud spending, the risks of over-reliance on AWS, and strategies for businesses to optimize their cloud infrastructure while maintaining flexibility and resilience.
The Scale of Figma’s Cloud Expenditure
Figma, a leading collaborative design platform, has grown exponentially, serving millions of users worldwide. Its IPO filing disclosed a massive $545 million commitment to AWS over five years, equating to roughly $300,000 per day. This figure reflects the immense computational and storage demands of Figma’s platform, which supports real-time collaboration, AI-powered search, and billions of UI element embeddings. While AWS enables Figma to deliver seamless performance, the cost is a significant portion of its revenue, raising questions about sustainability and profitability.
Why Such High Costs?
Figma’s platform requires robust infrastructure to handle millions of simultaneous users, complex design files, and compute-heavy tasks like generating embeddings for search capabilities. The lack of transparency in the IPO filing about the breakdown of costs—whether for compute, storage, or bandwidth—makes it hard to pinpoint inefficiencies. However, the sheer scale of the expenditure suggests a heavy reliance on AWS’s ecosystem, from Elastic Kubernetes Service (EKS) to storage solutions like S3.
The Bigger Picture
Figma’s $300K daily AWS costs expose a broader trend among SaaS companies: the escalating price of cloud services as platforms scale. While cloud providers like AWS offer unparalleled scalability, the financial burden can strain even high-revenue businesses. For Figma, which reported $228 million in revenue for Q1 2025, these costs represent a significant portion of its income, potentially impacting margins as it approaches its IPO.
The Risks of Cloud Dependency
Figma’s deep integration with AWS highlights a critical vulnerability: dependency on a single cloud provider. While AWS offers reliability and scalability, it also introduces risks that can affect performance, cost, and strategic flexibility.
Single Point of Failure
Figma’s IPO filing explicitly states that its platform is “fully dependent on AWS performance.” Any outage or service disruption could cripple Figma’s operations, impacting millions of users. Additionally, changes in AWS’s pricing or terms could force Figma into costly renegotiations or infrastructure overhauls. This single point of failure is a significant risk for any business reliant on one provider.
Vendor Lock-In
Figma’s infrastructure is tailored to AWS, making migration to another provider challenging. Switching clouds would require reengineering systems, retraining teams, and potentially disrupting service. This vendor lock-in limits Figma’s ability to negotiate better terms or explore cost-saving alternatives, reinforcing AWS’s control over its operations.
Rising Costs at Scale
As companies like Figma grow, cloud costs often scale disproportionately. The $300K daily AWS costs expose how quickly expenses can spiral when relying on pay-as-you-go models. Without careful optimization, businesses risk eroding profitability, especially in competitive markets where pricing pressures are high.
Strategies to Mitigate Cloud Reliance Risks
To avoid the pitfalls of cloud dependency, businesses can adopt strategies to optimize costs, enhance resilience, and reduce reliance on a single provider. Figma’s case offers valuable lessons for SaaS companies navigating similar challenges.
Optimize Cloud Usage
Figma has already taken steps to manage costs, such as transitioning from Ruby to C++ pipelines and moving thumbnailing to CPU-based processes. Companies can further optimize by:
- Right-Sizing Resources: Regularly audit cloud usage to eliminate overprovisioned resources.
- Dynamic Scaling: Use tools like Kubernetes to scale clusters dynamically based on demand.
- Cost Monitoring: Implement tools like AWS Cost Explorer to track and analyze spending patterns.
Embrace Multi-Cloud or Hybrid Models
Adopting a multi-cloud or hybrid cloud strategy can reduce dependency on a single provider. By distributing workloads across AWS, Google Cloud, or Azure, businesses can:
- Enhance Resilience: Mitigate the risk of outages by diversifying infrastructure.
- Negotiate Better Terms: Leverage competition between providers to secure favorable pricing.
- Increase Flexibility: Build systems that can operate across multiple clouds, reducing vendor lock-in.
Explore Cloud Repatriation
Some companies, like 37signals, have successfully reduced costs by repatriating workloads to on-premises infrastructure. While this approach requires upfront investment, it can yield significant savings for businesses with predictable workloads. For example, 37signals saved $2 million annually by exiting AWS and Google Cloud, demonstrating the potential of repatriation for cost-conscious companies.
Invest in In-House Expertise
Building internal expertise in cloud architecture and cost management can empower businesses to optimize their infrastructure independently. Training teams to understand cloud billing, performance tuning, and alternative providers can reduce reliance on external consultants and improve long-term efficiency.
Lessons for SaaS Companies
Figma’s $300K daily AWS costs expose a critical lesson for SaaS companies: cloud reliance must be balanced with strategic planning. As businesses scale, they must prioritize cost management, resilience, and flexibility to remain competitive. Here are key takeaways:
Plan for Scalability
Anticipate how cloud costs will grow with user demand and revenue. Incorporate cost projections into financial planning to avoid surprises as the business scales.
Diversify Infrastructure
Avoid over-reliance on a single provider by exploring multi-cloud or hybrid models. This approach not only mitigates risks but also provides leverage in pricing negotiations.
Prioritize Cost Transparency
Demand clarity from cloud providers about cost breakdowns and usage patterns. Transparent billing enables better decision-making and helps identify areas for optimization.
Monitor Profitability
High cloud costs can erode margins, especially for SaaS companies preparing for IPOs. Regularly assess the impact of infrastructure spending on profitability and adjust strategies accordingly.
The Future of Cloud Spending
As Figma heads toward its IPO, its $300K daily AWS costs expose the challenges of managing cloud expenses in a competitive market. The company’s ability to optimize its infrastructure while maintaining performance will be critical to its financial narrative. Industry trends suggest that more businesses will explore alternatives like multi-cloud strategies, repatriation, or even decentralized infrastructure to reduce costs and risks.
The Role of Innovation
Figma’s shift to Kubernetes and optimization efforts show a commitment to innovation. However, broader adoption of emerging technologies, such as serverless architectures or edge computing, could further reduce costs and improve resilience.
Industry-Wide Implications
Figma’s case is a wake-up call for the SaaS industry. As cloud costs continue to rise, companies must rethink their infrastructure strategies to remain agile and profitable. The conversation around cloud reliance is shifting, with more businesses questioning the long-term sustainability of centralized cloud models.
Figma’s $300K daily AWS costs expose the double-edged sword of cloud computing: unparalleled scalability comes with significant financial and strategic risks. While AWS enables Figma to deliver a world-class platform, the costs and dependency highlight the need for careful planning and diversification. By optimizing cloud usage, exploring multi-cloud models, and investing in in-house expertise, businesses can mitigate the risks of over-reliance and build a more resilient future. As the SaaS industry evolves, Figma’s experience serves as a cautionary tale and a roadmap for navigating the complexities of cloud infrastructure.