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I think this misunderstands the need for iteration! Maybe I could have written it more clearly :).

The reality is that you don't want to re-deploy for every prompt change, especially early on. You want to get a really tight feedback loop. If prompt change requires a re-deploy, that is usually too slow. You don't have to use a database to solve this, but it's pretty common to see in my experience.

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I've been reaching for BAML when I really need prompt iteration at speed.
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