Serverless computing fits IoT workloads that arrive as events. A message from a device triggers a function that validates it, enriches it with metadata and writes it to storage; nothing runs between messages, and the platform scales out automatically when a fleet reports at once. Billing per invocation makes small deployments cheap and removes the chore of patching servers.
The limits appear with sustained high volume and long-running logic. Cold start latency can hurt time-sensitive paths, and a function that fires for every single reading from a large fleet can cost more than a continuously running stream processing job. The common pattern is serverless for the glue and dedicated services for the heavy data path. See The IoT data pipeline.
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