Neon introduces a cloud-native architecture for managed Postgres instances by separating storage and compute, addressing the traditional limitations of monolithic architectures where resources are often over-provisioned and underutilized. This new architecture allows for flexible scaling, fast startup and shutdown, and independent scaling of CPU and I/O resources, enhancing efficiency and cost-effectiveness. The Neon console's object hierarchy, consisting of projects, branches, and compute endpoints, supports unique workflows that improve developer productivity. Users create projects as containers for resources, enabling them to branch their data like code with isolated branches using copy-on-write techniques for fast, cost-effective data management. Compute endpoints, which are read-write by default, connect to databases within branches and can be configured to autoscale, ensuring optimal resource allocation based on workload demands. Neon remains fully compatible with Postgres, offering a modern solution to database management challenges.