On my AWS service (EFS) many customers do use lots of small files. And for legacy apps there is nothing much you can do, but as a PSA, use the right tool for the job :) many people use file systems as databases when a database would be more appropriate.
Put it this way - moving a sqlite file with 1 million rows is much easier than moving 1 million files.
Put it this way - moving a sqlite file with 1 million rows is much easier than moving 1 million files.