Architecting for the cloud means understanding and embracing the fundamental aspects of it. Commodity hardware at scale requires a scale out vs. scale up approach. Commodity hardware fails and very few services provide 100% uptime SLAs. This session, delivered by Ulrich Homann and Marc Mercuri, covers the core concepts and considerations for developing scalable, resilient applications in this environment that the rest of the course is built upon. Topics in part one include SLA considerations, resource constraints, decomposing by workload, lifecycle modeling, and availability modeling.