WHAT IT IS
ELT has become the dominant pattern in cloud warehouses because compute is cheap, storage is cheap, and modern engines can transform at scale inside the warehouse (dbt on Snowflake, BigQuery, Databricks). ETL still applies where source schemas must be masked before landing, where network egress is expensive, or where strict compliance forbids raw landing.
HOW IT WORKS
A production pipeline — ETL or ELT — needs observability (lineage, run status, data volume), idempotency (safe to rerun), schema evolution handling, and alerting. Tools include Fivetran, Airbyte, Stitch, and native CDC; transformation is typically owned by dbt, dataform, or SQLMesh.
WHEN TO USE
Choose ELT when the target is a modern cloud warehouse. Choose ETL when governance, latency, or compliance requires transformation before load.