Why We No Longer Lock Premium Features

Neon has shifted away from traditional flat-fee structures for premium features, instead adopting a usage-based pricing model to ensure fairness and scalability for their customers. This change allows essential features, such as HIPAA compliance and SOC 2, to be accessible to all users at a cost proportional to their usage rather than being locked behind expensive enterprise plans. Inspired by the serverless pricing model of Databricks, Neon's approach eliminates arbitrary plan gating, allowing smaller companies to avoid subsidizing larger enterprises. By introducing a higher compute unit price for accessing premium features and applying usage-based surcharges for especially costly features, Neon ensures that customers only pay for what they actually use, providing a more equitable solution for companies of all sizes.

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