These two get compared constantly because both let an LLM run code that isn't yours, but they were designed for different halves of that problem.
E2B is built around the sandbox as a session. You create one, it boots in a fraction of a second, and then you interact with it: write files, run shell commands, execute a Python cell, read stdout, install a package, take the result, run something else. The abstraction is a machine that stays alive while your agent thinks. That is exactly the shape of a code interpreter, a data-analysis agent, or an autonomous coding loop.
Modal is built around the function as the unit. You decorate a Python function, declare its image and resources, and Modal runs it in the cloud with fast container starts, autoscaling, and genuinely good GPU access. The abstraction is remote execution of your code, not a machine your agent lives in. Modal does expose a sandbox primitive for untrusted code, and it works, but the platform's centre of gravity is deployment and batch compute.
If your product is an agent that writes and runs code, start with E2B. The SDK matches the mental model, session persistence is the default rather than a workaround, and you spend no time thinking about images.
If your product runs your own workloads — inference, fine-tuning, video processing, scheduled ETL, a queue of GPU jobs — Modal is not just the better fit, it is a different tier of product. Nothing in the sandbox category competes with Modal on GPU ergonomics.
Plenty of teams end up with both, and that is a reasonable outcome rather than a failure to decide.