Explain each key point of microservices.

Microservices is an architectural style that structures an application as a collection of loosely coupled services, each implementing a specific business capability. Key points include: 1) Independent deployment – each service can be built, tested, and released separately, enabling faster iteration and continuous delivery. 2) Bounded contexts – services encapsulate a single domain concept, reducing inter‑service dependencies. 3) Decentralized data management – each service owns its own database or storage, preventing shared schema bottlenecks. 4) Lightweight communication – services typically communicate over HTTP/REST, gRPC, or message queues, keeping the interface simple and version‑agnostic. 5) Fault isolation – failures in one service do not cascade; circuit breakers, retries, and graceful degradation are common patterns. 6) Scalability – services can be scaled independently based on load, allowing efficient resource utilization. 7) Observability – distributed tracing, metrics, and centralized logging are essential to monitor interactions across services. 8) Governance – API gateways, service registries, and contract testing help maintain consistency. Together, these principles enable agility, resilience, and scalability in modern cloud‑native applications.