It's absolutely price gouging. I'm not going to rant about this for the 100th time, but at least I'm in good company [0]. Do the math on the cost you pay if you saturate 1gbps for a month vs. the cost you pay for 1gbps IP transit at basically any colocation provider.
Really this is the secret sauce of the cloud. Create new abstraction layers where you can charge for logical separation on a physical basis. First VMs, then containers, then serverless... Would be cool if somebody did it with bandwidth (looking at you, Cloudflare). Why can't I buy an elastically sized pipe? Why do I need to pay for the stuff I put through it instead of reserving a size for the time I'll need it?
Really this is the secret sauce of the cloud. Create new abstraction layers where you can charge for logical separation on a physical basis. First VMs, then containers, then serverless... Would be cool if somebody did it with bandwidth (looking at you, Cloudflare). Why can't I buy an elastically sized pipe? Why do I need to pay for the stuff I put through it instead of reserving a size for the time I'll need it?
[0] https://twitter.com/eastdakota/status/1371252709836263425