The new Tesla Model 3 is cheaper than the Model S. Is that Tesla encouraging people to migrate to the
Model 3?
They're not the same product, and in this case they serve different points in the space with different underlying requirements. App Engine Standard's cost structure on the backend just hasn't changed nearly as much as compute engine's lately where it's a much more direct: oh look Haswell released, more cores per host at similar dollars yields less $$/core.
Disclosure: I work on Cloud (Compute Engine mostly) and care a lot about our prices.
-- Chris