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Merge pull request #299357 from TimShererWithAquent/us424061-06
Freshness Edit: Azure Functions (6 of several)
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---
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title: Azure Functions Consumption plan hosting
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description: Learn about how Azure Functions Consumption plan hosting lets you run your code in an environment that scales dynamically, but you only pay for resources used during execution.
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ms.date: 07/10/2023
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description: Learn about how Azure Functions Consumption plan hosting lets you run your code in an environment that scales dynamically.
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ms.date: 05/06/2025
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ms.topic: conceptual
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ms.custom:
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- build-2024
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# Azure Functions Consumption plan hosting
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When you're using the Consumption plan, instances of the Azure Functions host are dynamically added and removed based on the number of incoming events. The Consumption plan, along with the [Flex Consumption plan](./flex-consumption-plan.md), is a fully <em>serverless</em> hosting option for Azure Functions.
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When you're using the Consumption plan, instances of the Azure Functions host are dynamically added and removed based on the number of incoming events. The Consumption plan, along with the [Flex Consumption plan](./flex-consumption-plan.md), is a fully *serverless* hosting option for Azure Functions.
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## Benefits
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## Billing
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Billing is based on number of executions, execution time, and memory used. Usage is aggregated across all functions within a function app. For more information, see the [Azure Functions pricing page](https://azure.microsoft.com/pricing/details/functions/).
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Billing is based on number of executions, execution time, and memory used. Usage is aggregated across all functions within a function app. For more information, see [Azure Functions pricing](https://azure.microsoft.com/pricing/details/functions/).
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To learn more about how to estimate costs when running in a Consumption plan, see [Understanding Consumption plan costs](functions-consumption-costs.md).
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## Create a Consumption plan function app
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When you create a function app in the Azure portal, the Consumption plan is the default. When using APIs to create your function app, you don't have to first create an App Service plan as you do with Premium and Dedicated plans.
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In Consumption plan hosting, each function app typically runs in its own plan. In the Azure portal or in code, you may also see the Consumption plan referred to as `Dynamic` or `Y1`.
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In Consumption plan hosting, each function app typically runs in its own plan. In the Azure portal or in code, you might also see the Consumption plan referred to as `Dynamic` or `Y1`.
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Use the following links to learn how to create a serverless function app in a Consumption plan, either programmatically or in the Azure portal:
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+ [Azure CLI](./scripts/functions-cli-create-serverless.md)
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+ [Azure portal](./functions-get-started.md)
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+ [Azure Resource Manager template](functions-create-first-function-resource-manager.md)
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- [Azure CLI](./scripts/functions-cli-create-serverless.md)
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- [Azure portal](./functions-get-started.md)
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- [Azure Resource Manager template](functions-create-first-function-resource-manager.md)
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You can also create function apps in a Consumption plan when you publish a Functions project from [Visual Studio Code](./create-first-function-vs-code-csharp.md#publish-the-project-to-azure) or [Visual Studio](functions-create-your-first-function-visual-studio.md#publish-the-project-to-azure).
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## Multiple apps in the same plan
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The general recommendation is for each function app to have its own Consumption plan. However, if needed, function apps in the same region can be assigned to the same Consumption plan. Keep in mind that there is a [limit to the number of function apps that can run in a Consumption plan](functions-scale.md#service-limits). Function apps in the same plan still scale independently of each other.
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The general recommendation is for each function app to have its own Consumption plan. However, if needed, function apps in the same region can be assigned to the same Consumption plan. Keep in mind that there's a [limit to the number of function apps that can run in a Consumption plan](functions-scale.md#service-limits). Function apps in the same plan still scale independently of each other.
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## Next steps
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+ [Azure Functions hosting options](functions-scale.md)
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+ [Event-driven scaling in Azure Functions](event-driven-scaling.md)
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- [Azure Functions hosting options](functions-scale.md)
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- [Event-driven scaling in Azure Functions](event-driven-scaling.md)

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