This is what I commonly see Lambda turn into and why I think it's real messy. People think that adding another Lambda is as cheap as adding a function in regular code and put them everywhere. I haven't seen it as much with microservices, might just be where I work though.

Cloudflare workers had a interesting solve for this where they don't let you make a http request to another worker, they mount the code for that worker in the same process. Kind of wish AWS could find a way to do that, although since they support multiple runtimes I don't know if it is possible.