Tierless architecture represents a major shift from traditional tiered cloud systems—where data flows through rigid, centralized layers—to a distributed, peer-to-peer mesh model. In this approach, services communicate directly and securely, with dynamic policies enforced at the edge rather than the core. This change is driven by the need for lower latency, greater resilience, and the rise of decentralized microservices, edge computing, and real-time AI workloads. Tierless architecture improves performance, security, and scalability by decoupling services from physical locations and enabling dynamic, intent-driven infrastructure. While it introduces new challenges in observability, security, and operational complexity, organizations adopting these patterns gain agility and a competitive edge in modern cloud environments.