Kshitij Grover’s Post

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Co-Founder and CTO at Orb

Let's talk a bit about Stripe's usage based billing product from Sessions. The gaps in their new "reporting usage" features highlight why Orb is a *different* product from the ground up (and why companies choose to work with us!) 1️⃣ One fundamental move you need when doing usage-based billing is the decoupling of "events" with "quantities". You report raw usage, and leave it to a different layer of the system to aggregate into quantities. That aggregation layer needs to be flexible. 2️⃣ Stripe's new `Meter` APIs have higher rate limits, but they don't actually change the abstractions - you only get to do a `SUM` or `COUNT`. For anything that requires a real query (even just a `COUNT DISTINCT`), you still have to build and run your own data infra. 3️⃣ Starting today, you can report "more events", but it's a far cry from "raw events" → you get one numeric key, and no grouping or filtering capability. And note that `transform_quantities` operates at wrong layer -- you need help going from events -> quantity, not quantity -> 2*quantity. Engineers, don't settle for `"round": "up"`. You want SQL! This is a data infra problem, not a multiplication problem. 4️⃣ Unsurprising to anyone who's done it, billing on usage requires transparent invoicing - they're inexorably tied. Now with Stripe, you get more precision on your usage ...and then lose it when actually billing -- see screenshot 👇🏽 5️⃣ What happens when you report the wrong usage? Stripe asks you to get the id of the event and you have 24 hours to do so (super limiting!). This means *you need to store each event*. It's the wrong paradigm altogether -- this storage and query is exactly what should offload.

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Kshitij Grover

Co-Founder and CTO at Orb

2mo

There's a lot more to say past usage reporting, and why the actual billing engine is still woefully incomplete. More to come here 👀

The spirit and procedure of transparency need to be followed

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