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> no consul/vault meant no nomad, no nomad meant no application servers.

Not super familiar with nomad but it seems like that would not necessarily follow. For example if etcd goes fully dark in kubernetes cluster things will mostly continue running for a while unless something also crashes the servers

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True for long running services, but not necessarily ephemeral workloads. Those need a system to schedule them or else once they complete they just stop running.

Also, as long running services crash or reboot naturally they need to be rescheduled or else your cluster slowly dies, and as your cluster size increases the mtbf decreases and the need to reschedule workloads continually increases.

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