HOW THE ECONOMICS OF MULTITENANCY WORK

Summary from the TLDR Web Dev newsletter

Blacksmith, a serverless CI platform, uses the economics of multitenancy to achieve profitability. CI workloads are spiky and chaotic, making a serverless model efficient, as customers borrow resources only when needed. Blacksmith smooths out individual spikes in demand by pooling resources across multiple customers, increasing overall fleet utilization, which leads to better gross margins.