The document discusses the concept of 'serverless' technology, emphasizing its advantages such as scalability, cost efficiency, and reduced operational responsibilities for developers. It introduces the term 'findev' to describe the evolving intersection of finance and development, highlighting new business models that leverage serverless architecture for dynamic cost management and investment returns. By adopting serverless solutions, organizations can optimize their development processes, reduce costs, and enhance their product delivery capabilities.

1. Serverless is more
FinDev than DevOps
Yan Cui @theburningmonk

2. Yan Cui
http://theburningmonk.com
@theburningmonk
Principal Engineer @
Independent Consultant

5. available in Austria, Switzerland, Germany,
Japan, Canada, Italy and US

6. available on 30+ platforms

7. ~1,000,000 concurrent viewers

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updates about the
engineering team
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9. AWS user since 2009

10. AWS user since 2009

11. https://productionreadyserverless.com

12. https://productionreadyserverless.com
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13. What do you mean
by ‘serverless’?

14. “Serverless”

16. Gojko Adzic
It is serverless the same way
WiFi is wireless.
http://bit.ly/2yQgwwb

17. Serverless means…
don’t pay for it if no-one uses it
don’t need to worry about scaling
don’t need to provision and manage servers

18. “Function-as-a-Service”
AWS Lambda
Azure Functions
Google Cloud Functions
Auth0 Webtask
Spotinst Functions Kubeless
IBM Cloud Functions

19. AWS Lambda

20. AWS Lambda
API Gateway IOT SNS Kinesis CloudWatch

21. IaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
CaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
PaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
FaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
User User (scalable unit) Provider

22. IaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
CaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
PaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
FaaS
Function
Application
Runtime
Container
OS
Virtualization
Hardware
User User (scalable unit) Provider

23. Serverless
FaaS
other services…
Database
Storage
BI

24. Simon Wardley
Serverless will fundamentally change
how we build business around
technology and how you code.

25. Why serverless?

26. more Scalable
(and scales faster!)

27. Cheaper
(don’t pay for idle servers)

28. Resilience
(built-in redundancy and multi-AZ)

29. Secure

30. request
blue-green deployment
req/s
auto-scaling
us-east-1a
us-east-1b
us-east-1c
multi-AZ

31. the DevOps forcethe DevOps force
is strong with serverlessis strong with serverless

32. idea production
choose language
+ framework
master language
+ framework
figure out
deployment
configure AMI
configure ELB
configure
autoscaling
capacity planning
over-provision for
launch
are we doing
microservices?
configure CI/CD

33. idea production
choose language
+ framework
master language
+ framework
figure out
deployment
configure AMI
configure ELB
configure
autoscaling
capacity planning
over-provision for
launch
are we doing
microservices?
configure CI/CD

34. idea production
greater Velocity from idea to product

35. minimise undifferentiated
heavy-lifting

36. less ops responsibility on
your shoulders

37. Simon Wardley
https://blog.gardeviance.org/2016/11/why-fuss-about-serverless.html

38. Simon Wardley
https://blog.gardeviance.org/2016/11/why-fuss-about-serverless.html
the new business models around worth based development and
the collision of finance and development will literally knock your
socks off. Which is why the moniker "FinDev". Beyond the initial
investment in coding, I can create an almost variable cost business
model and redirect investment to maximise returns in ways that
most of you have never experienced. I know, I’ve been there.

39. Do you know what’s ROI?
Radio-on-Internet man!
Return on Investment

40. buy low, sell high

41. refactoring
“invest energy now to save cognitive load later”
translation

42. YAGNI principle
“don’t invest in things with no known return value”
translation

43. premature optimization is
the root of all evil
translation
“don’t invest in things with no known return value”

44. revenue

45. easy to measure
revenue

46. ???
revenue

48. AWS
easy to measure
revenue

50. AWS, Engineers
essential, rare, and expensive
revenue

52. AWS, Engineers,
Real Estate
$$$$$$$$!!!
revenue

55. AWS, Engineers,
Real Estate, Tools
revenue

56. AWS, Engineers,
Real Estate, Tools,
Managers
revenue
essential, rare, and expensive

57. recruitment is one of the most important things
you can do as an employee
it’s also a significant investment

58. https://bit.ly/2FTXk4q

60. Cheaper
(don’t pay for idle servers)
this is a distraction from the
true saving from serverless

61. Thinking about
serverless costs
the right way

63. Model Training
Low-latency Prediction
Serving via Batching

65. developer
but I build CRUD web APIs, why should I
care if Lambda is a bad fit for machine
learning and serving realtime predictions?

66. https://aws.amazon.com/solutions/case-studies/financial-engines/

67. https://www.doc.ic.ac.uk/~rbc/papers/fse-serverless-17.pdf
“This paper presents two
case industrial studies of
early adopters, showing
how migrating an
application to the
Lambda deployment
architecture reduced
hosting costs – by
between 66% and 95%…”

68. if you wear your shoes on your hands,
should you really be surprised your feet is cold?
(hint: it’s not because the shoes are not warm!)

70. leverage: do more with less

71. idea production
choose language
+ framework
master language
+ framework
figure out
deployment
configure AMI
configure ELB
configure
autoscaling
capacity planning
over-provision for
launch
are we doing
microservices?
configure CI/CD

72. request
blue-green deployment
req/s
auto-scaling
us-east-1a
us-east-1b
us-east-1c
multi-AZ

73. Serverless might cost you just as much, or
even more, but you get so much more done

75. 6 developers, 6 months
95% saving against EC2
15x no. of production releases per month

78. “what’s the ROI of feature X?”

80. how much time does it take to build?
how many engineer does it take to build?

81. how much does it cost to run it?

82. $5/hr
$5/hr
1 TPS
1000 TPS
$0.00138888888 per transaction
$0.00000138888 per transaction
actual cost per
transaction depends on
usage, which is outside
your control

83. TPS
Cost/Transaction

84. $5/hr
? TPS
runs multiple
services/features

85. $5/hr
? TPS
runs multiple
services/features
how do you attribute the
cost for each feature?

86. understanding the operational cost for
individual features are very difficult

87. We should forget about small efficiencies,
say about 97% of the time: premature
optimization is the root of all evil.
Donald Knuth

88. We should forget about small efficiencies,
say about 97% of the time: premature
optimization is the root of all evil.
Yet we should not pass up our
opportunities in that critical 3%.Donald Knuth

89. input output
engineering time
lower operational cost to
run the feature

90. input output
engineering time
lower operational cost to
run the feature
this is pretty $$$

92. cost of the conversation:
~$50 per dev per hour x 8 = $400
potential saving:
$10/month

93. cost of the conversation:
~$50 per dev per hour x 8 = $400
potential saving:
$10/month
break-even time for conversation:
$400 ÷ $10/month = 40 months!!!

94. We should forget about small efficiencies,
say about 97% of the time: premature
optimization is the root of all evil.
Yet we should not pass up our
opportunities in that critical 3%.Donald Knuth

95. $5/hr
hard to attribute cost to
individual feature
runs multiple
services/features
unpredictable cost per
transaction

96. PAY
PER USE

97. API Gateway Lambda DynamoDB
$0.05 $0.02 $0.01
cost per transaction: $0.08

99. Simon Wardley
the new business models around worth based development and
the collision of finance and development will literally knock your
socks off. Which is why the moniker "FinDev". Beyond the initial
investment in coding, I can create an almost variable cost business
model and redirect investment to maximise returns in ways that
most of you have never experienced. I know, I’ve been there.

100. Pay-per-use as a
competitive advantage

101. “how do you price your product?”

102. Business Model
how you plan to make money?

103. “If you're not paying for the product,
you are the product.”

105. generates revenue with memberships
usage of equipments cause wear and tear, adds
maintenance/upkeep and staffing cost

106. Business Model
Many people would sign up for membership, but few
would make use of their membership regularly.

107. subscription-based services

108. £
subscription fee
percentile
80%
profit!
loss…

109. transactional/metered/pay-per-use

110. £
percentile
your premium
what you charge
your customer
what the transaction
costs you

111. https://productionreadyserverless.com

112. subscription-based transactional (pay-per-use)

113. Online learning platforms loves the subscription model,
because most people won’t take full advantage of their
membership.
For students, the investment of time and energy far
outweigh the investment of money.

114. Learning
Management
System
students instructors
consum
e
content
publish
content
pays pays

115. as an instructor, you receive
% of revenue from
your courses
% of time students
spend on your coursesor

116. £
course fee
percentile
royalty
instructor

117. as an instructor, you receive
% of revenue from
your courses
% of time students
spend on your coursesor
USUALLY A FRACTION OFREVENUE YOU GENERATE

118. as an instructor, you receive
% of revenue from
your courses
% of time students
spend on your coursesor
USUALLY A FRACTION OFREVENUE YOU GENERATE
ONLY A FEW COURSES
MAKES GOOD REVENUE

120. what do you get for 20%
of your revenue?

121. as a content creator, you always lose…

122. what if…

123. 100% royalty rate
operational cost
(bandwidth, hosting, etc.)
instructor

124. £
course fee
percentile
80%
profit!
loss…
instructor

125. £
course fee
percentile
80%
profit!
loss…
instructor
typical royalty rate

126. £
percentile
your premium
what you charge
instructors
what the transaction
costs you
platform

127. CloudFront on-demand pricing (per GB)

128. platform is incentivised to encourage
students to watch what they bought

129. platform is fair to instructors

130. low cost to instructors helps keep
course prices low

131. API Gateway Lambda DynamoDB
$0.05 $0.02 $0.01
cost per transaction: $0.08

132. Simon Wardley
the new business models around worth based development
and the collision of finance and development will literally
knock your socks off. Which is why the moniker "FinDev".
Beyond the initial investment in coding, I can create an
almost variable cost business model and redirect
investment to maximise returns in ways that most of you
have never experienced. I know, I’ve been there.

134. https://productionreadyserverless.com
get 40% off everything at
Manning.com with
ctwsrvscardiff19