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The next frontier of value creation.

Thomas Ballard · December 2, 2021 ·

If you asked most people what they were most excited for at re: Invent, they would say Werner Vogels technical keynote. He does not disappoint.

AWS has invested heavily these last 12 months to improve network latency.

Creating new regions, local zones, relays to connect to space and outposts in the Antarctic. The goal of this is to improve the performance of the applications your portcos build.

You might be thinking, how is network latency and value creation linked?

Simply, it comes down to improving performance.

Good performance improves customer retention, reduces critical bottlenecks and helps you to build new products.

These metrics should be translated into $ growth in revenue or $ increases to EBITDA.

Great performance drives efficiency at scale

Performance efficiency is a way of creating not just fast but cost-effective and scalable systems. AWS’ recent investment to reduce latency will make this easier.

There are typically 6 steps Portcos should take when creating efficient, performant applications.

  1. Monitoring and fixing stability issues in dev.
  2. Consistently instrumenting their design, using data to influence their roadmap.
  3. Creating small, flexible, mutable services and application that can be scaled up, down and across.
  4. Forecasting and provisioning the right type, level, and placement of capacity. Moving workloads with the sun.
  5. Building scalable resilience into applications before it’s needed.
  6. Knowing how fast their application should be and how many things it should do at any time.

Portcos that drive Performance efficiency will be able to make whatever business changes they want without worrying about what the underlying tech stack is doing.

How liberating would that be? That’s where the real value is.

Until next time.


Thomas

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