Amazon SES vs SendGrid: Which Email Service Powers Your Business Better in 2025?

Choosing between Amazon SES and SendGrid isn’t just about picking an email service—it’s about finding the right foundation for your entire communication strategy. After sending billions of emails through both platforms, we’ve discovered that the “better” choice depends entirely on your specific needs, technical expertise, and growth trajectory.

Let’s cut through the marketing noise and examine what actually matters when your business depends on reliable email delivery.

Quick Comparison Table

The Price Reality Check

Here’s where Amazon SES makes CFOs smile and SendGrid makes marketers wince.

Amazon SES pricing remains stunningly simple: $0.10 per thousand emails. That’s it. No tiers, no complexity, no surprise charges. If you’re running on AWS infrastructure, companies using Amazon EC2 get 62,000 free emails monthly.

SendGrid’s pricing follows a more traditional SaaS model. The Essentials plan starts at $19.95 per month for up to 50,000 emails, scaling to more expensive tiers as volume increases. SendGrid will be retiring its Free Email API and Free Marketing Campaigns plan starting May 27, 2025, pushing all users to paid plans.

Real-World Cost Comparison

Let’s break down what you’ll actually pay:

Sending 100,000 emails per month:

• Amazon SES: $10 (plus any dedicated IP costs)
• SendGrid: $35 (Essentials 100K plan)

Sending 1 million emails per month:

• Amazon SES: $100
• SendGrid: $185+ (Pro plan required)

Dedicated IP Address:

• Amazon SES: $24.95 monthly
• SendGrid: $30 each/month

Winner on price? Amazon SES, without question. But remember—cheapest isn’t always best.

The Developer Experience Divide

This is where these platforms reveal their DNA.

Amazon SES was built by developers, for developers. It’s a pure-play email infrastructure service that assumes you know your way around APIs, AWS IAM permissions, and enjoy reading documentation. Setting up SES requires verifying domains, configuring DKIM/SPF records, and potentially writing custom code to handle bounces and complaints.

SendGrid takes a different approach. Users report that the platform is easy to configure and deploy, with helpful online manuals and support. You get a user-friendly dashboard, pre-built templates, and visual editors that marketing teams can actually use without engineering support.

Integration Complexity

Amazon SES setup requirements:

• Domain verification through DNS records
• IAM role configuration
• Sandbox mode graduation (manual request required)
• Custom bounce/complaint handling implementation
• CloudWatch integration for monitoring

SendGrid setup process:

• Sign up and add API key
• Domain authentication (guided process)
• Start sending immediately
• Built-in bounce handling
• Dashboard analytics included

For teams with AWS expertise, SES integration feels natural. For everyone else, SendGrid wins on simplicity.

Deliverability: The Hidden Battleground

Both platforms claim excellent deliverability, but the reality is more nuanced.

Amazon SES leverages AWS’s massive infrastructure and reputation. Amazon SES includes an optional feature called Bring Your Own IP (BYOIP), allowing complete control over sender reputation. However, managing deliverability on SES requires more manual work—you’ll need to monitor your own metrics and adjust accordingly.

SendGrid claims to have a 99% deliverability rate on average and provides more hand-holding. The platform provides deliverability insights and offers a complete view of email performance, including spam trap hits, inbox placement rates, and ISP-specific performance.

The Microsoft/Outlook Challenge

In early 2025, users on Reddit and Microsoft community pages posted several reports that their emails sent via SendGrid to Outlook and hotmail.com email addresses were being blocked. This highlights a critical consideration—SendGrid’s shared IP pools can sometimes suffer from other senders’ poor practices.

Amazon SES users on dedicated IPs generally avoid these collective punishment scenarios, though the initial warm-up process requires patience and expertise.

Feature Set: Bare Bones vs. Full Kitchen

Amazon SES features:

• Email sending API
• Inbound email processing
• Basic templating
• Configuration sets for tracking
• Virtual Deliverability Manager (additional cost)
• Integration with AWS services

SendGrid features:

• Drag-and-drop email designer
• Marketing automation workflows
• A/B testing capabilities
• Advanced analytics dashboard
• Email validation API
• Subuser management
• Built-in unsubscribe handling

SendGrid clearly offers more out-of-the-box functionality. But here’s the thing—many developers prefer SES’s minimalist approach because it doesn’t force opinions about how email should work.

Scalability and Reliability

Both platforms handle massive volume, but differently.

Amazon SES scales infinitely within AWS’s infrastructure. It allows for both sending and receiving emails and is suitable mostly for transactional emails. The challenge? You start in sandbox mode with severe sending limits until AWS approves your production access.

SendGrid delivers more than 100 billion emails per month. Scaling is automatic, though costs escalate quickly at higher volumes. The platform includes built-in queuing and retry logic that SES users must implement themselves.

Support: DIY vs. Done-For-You

Amazon SES support:

• AWS documentation (extensive but complex)
• Community forums
• Paid AWS support plans
• No email-specific support team

SendGrid support:

• Pro users get phone support as a bonus
• Dedicated email deliverability experts
• Live chat on paid plans
• Extensive knowledge base

For mission-critical email operations, SendGrid’s specialized support often justifies the higher cost.

Use Case Recommendations

Choose Amazon SES when:

• You’re already deep in the AWS ecosystem
• Cost is the primary concern
• You have strong technical resources
• You need maximum control and flexibility
• You’re sending primarily transactional emails
• You handle millions of emails monthly

Choose SendGrid when:

• Marketing teams need self-service capabilities
• You want email marketing features beyond basic sending
• Quick setup is more valuable than lowest cost
• You need dedicated email support
• You’re running integrated marketing/transactional campaigns
• Visual tools and templates matter

The Hidden Costs Nobody Mentions

Amazon SES hidden expenses:

• Developer time for implementation
• Ongoing maintenance and monitoring
• Third-party tools for analytics/templates
• Potential CloudWatch and data transfer charges

SendGrid hidden expenses:

• Rapid cost escalation with volume
• Additional charges for dedicated IPs
• Premium features locked behind higher tiers
• Email validation API costs extra

Making the Decision

After extensive testing, here’s our verdict:

Amazon SES wins for high-volume senders who prioritize cost and control. It’s unbeatable for transactional email at scale, especially within AWS infrastructure. The learning curve pays off in flexibility and savings.

SendGrid wins for teams that need more than just email delivery. The higher costs buy you time-to-market, better tools for non-developers, and specialized support that can improve deliverability.

The Third Option: Hybrid Approach

Many successful companies use both:

• Amazon SES for high-volume transactional emails (receipts, passwords, notifications)
• SendGrid for marketing campaigns and lifecycle emails

This approach optimizes both cost and functionality, though it requires managing two systems.

Final Recommendations

For startups and SMBs: Start with SendGrid unless you have strong AWS expertise. The higher cost is worth the reduced complexity and faster implementation.

For enterprises and high-volume senders: Amazon SES’s cost advantages become compelling at scale. Budget for the initial development investment.

For SaaS companies: Consider your customer base. B2C apps with millions of users lean toward SES. B2B platforms often benefit from SendGrid’s marketing features.

For developers: If you enjoy building email infrastructure, SES provides a solid foundation. If email is a necessary evil, SendGrid handles the heavy lifting.

The Bottom Line

Both Amazon SES and SendGrid are battle-tested platforms trusted by thousands of companies. The “best” choice depends on your specific situation:

• Choose SES for cost-effectiveness, AWS integration, and maximum control
• Choose SendGrid for ease of use, marketing features, and dedicated support

Remember, switching email providers is painful. Make this decision based on where you’ll be in two years, not just today’s needs. Consider your team’s technical capabilities, growth projections, and whether email is core to your business or just a utility.

Whatever you choose, focus on what matters most: getting your emails delivered to real inboxes, not spam folders. Both platforms can achieve this—the question is which path better aligns with your resources and goals.

Amazon SES: Pros and Cons

Pros

• Unbeatable pricing – $0.10 per 1,000 emails with no volume tiers
• AWS ecosystem integration – Seamless with Lambda, EC2, CloudWatch
• Massive scalability – Handles billions of emails without breaking a sweat
• Complete control – Full flexibility over email infrastructure
• High deliverability – Leverages Amazon’s stellar IP reputation
• BYOIP option – Bring your own IP addresses for ultimate control
• Pay-as-you-go – No monthly minimums or commitments
• Global infrastructure – Multiple regions for low latency

Cons

• Steep learning curve – Requires significant technical expertise
• Minimal UI – No user-friendly dashboard for non-developers
• Manual everything – Bounce handling, templates, analytics all DIY
• Sandbox limitations – Restrictive sending limits until approved
• No marketing features – Pure infrastructure play
• Complex monitoring – Requires CloudWatch configuration
• Limited support – No dedicated email support team
• Hidden AWS costs – Data transfer and CloudWatch charges add up

SendGrid: Pros and Cons

Pros

• User-friendly interface – Marketing teams can use without developers
• Quick setup – Get sending in minutes, not hours
• Built-in features – Templates, automation, analytics included
• Dedicated support – Email experts available on higher plans
• Marketing tools – A/B testing, segmentation, automation workflows
• Comprehensive analytics – Detailed insights without extra configuration
• Email validation – Built-in address verification (extra cost)
• Established reputation – Trusted by major brands globally

Cons

• Higher costs – Significantly more expensive at volume
• Shared IP risks – Other senders can impact your reputation
• Microsoft delivery issues – Recent problems with Outlook/Hotmail
• Feature restrictions – Best features locked behind expensive tiers
• Separate pricing models – Marketing and transactional billed differently
• Vendor lock-in – Harder to migrate away from proprietary features
• Scaling costs – Prices escalate quickly with growth
• Free plan elimination – No more free tier after May 2025