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CONCEPT Cited by 1 source

Latency budget

Definition

A latency budget is the total wall-clock time allocated to a request path before the user experience degrades or a business SLO is violated. The budget is subdivided across layers (network, compute, data lookup, business logic) and each component must stay within its allocation.

In a checkout fraud-detection flow, the latency budget is the time between "tap pay" and "Approved" appearing — typically 50–200 ms. Every component in the path (model inference, feature lookup, network hop, business rules) consumes a slice of this budget.

Why it matters architecturally

  • Drives technology choices. A 50 ms budget means you can't cold-start a database, can't tolerate 200 ms feature lookups, and must pre-warm connection pools.
  • Makes network overhead visible. When model inference takes 10 ms but end-to-end takes 37 ms, the 17 ms gap (network, serialization, routing) is a first-class architectural concern — hence route optimization and data-plane shortcuts.
  • Forces separation of latency-critical from latency-tolerant work. Profile updates (write path) are latency-tolerant; the next transaction read (hot path) is latency-critical. They share a table but have different consistency needs.

Example allocation (Databricks fraud detection)

Component p50 Budget share
Feature lookup (Lakebase) 8.9 ms 33%
CatBoost inference 0.4 ms 1.5%
Container overhead 0.2 ms <1%
Network / data-plane hop 17.4 ms 64%
Business logic (profile + rules) ~2 ms ~1%
Total ~27 ms 100%

The network hop dominates — which is why route optimization (data-plane shortcut) is the highest-leverage optimisation, not model tuning.

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