[Anecdote time]: I've seen a product team (of otherwise clueless people) design their whole product around a serverless architecture. In one instance I heard them trying to 'solve' the authentication on each connection problem, where they could have kept connection state and authenticated a user with cookies or the like.
Assuming that some would pay for the slightly slower and more expensive serverless option; is the touted goal of scalability better than n well-optimised instances of a service, where n = 1 for most of the time?