Yes, to be clear this change was just for Lambda. L@E is honestly a completely different service run by a different part of AWS that just happens to share parts of our core worker platform. I am not 100% aware of when they might adjust their own pricing on this, but also couldn't share any roadmap here (sorry).
How does that even work? Lambda seems like a challenge even with the entirety of the datacenter resources to work with. Running it in constrained edge environments with a VM per function seems like black magic.
The naming is a bit of a misnomer, today L@E doesn't run at the edge (in our PoPs) but when you deploy it copies to every region and then CloudFront routes you to the lowest latency region for your request.