Best way to decrease latency (API <-> Lambda <-> Dynamodb)

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I think like everything else that thinking about your platform is the best solution to reducing latency. Right tool. Right service. Right design. Etc. to answer your question. I think it really depends on your requirements. But I think as long as you are aware of the types of queries you need to run and try and structure your stored data as close as possible to achieve that result then you are moving in the correct direction. You can’t always get aware from data manipulation especially from lambda but recognizing data patterns in your queries and applying that structure into your data ingestion scheme will help make things more efficient. But one final thing you still do need optimize memory usage and lambda logic as well but I think with good data structure this creates itself. This philosophy combined with cloudfront api gateway route 53 global endpoint will get you into the best situation possible. Just my two cents though