
Pax8
🇺🇸 United States
47,000 IT partners and over 800,000 small and medium-sized businesses
Event Sourcing for Rebuilding Billing: How Pax8 is Rebuilding Its Financial Engine on Axon Server
Every month Pax8 generates invoices for over 47,000 IT partners and their 800,000+ end-customers. To support its continued growth and scale, Pax8 is implementing an event-sourced system using Axon Server that will enhance its billing capabilities.
Introduction
Pax8 is the global AI and Cloud Marketplace that thousands of managed service providers (MSPs) use to buy, sell, and bill for the technology stack their small and midsize business clients run on. One of the company's defining features has always been consolidated billing: a single monthly invoice across the partner’s entire ecosystem of vendors and clients.
As the IT channel and Pax8 grew, it gave way to agentic AI offerings, and Pax8's own product language shifted from MSP to Managed Intelligence Provider. As a result, the company is building an updated billing engine that supports its scale. using Axoniq Framework, event sourcing foundation, and Axon Server
The Challenge
Generating consolidated invoices is incredibly complex. Pax8 has to account for myriad variables, including dynamic pricing across hundreds of SaaS vendors, multiple currencies and usage, consumption and entitlement billing modes.
With so many variables, a single, point-in-time record of activity is crucial and needed for continued growth, according to Mike Key, Principal Architect at Pax8.
The need to evolve Pax8’s billing capabilities is a direct result of its success. When Pax8 launched, its billing architecture was built as a simple, layered system that supported the MSP channel. After unprecedented growth, Pax8 is updating its billing architecture to meet the needs of MIPs and adapt to AI native technology. Initial testing of the new billing architecture by Pax8 shows incredible improvements. Components of the billing system running on Axon Framework with Postgres as the event store held up in isolation. But when the team looked at extending event sourcing across its entire ecosystem, Postgres couldn't hold up as the event store at that scale.
"Architects like me will always tell companies: do not rebuild existing systems. It is the worst approach. But we're going to do it, and I believe we can do it because of these technologies."
— Mike Key, Principal Architect, Pax8
The Solution
Pax8 is building its new financial engine so that every price, margin, invoice, and adjustment is recorded using Axon Server as the durable event store infrastructure. It will give Pax8's Finance team an immutable record to reconcile against. And with Axoniq Insights, the team at Pax8 can query millions of events in a matter of seconds, improving productivity and effectiveness.
Three decisions are shaping how Pax8 is building on that foundation:
1. Dynamic Consistency Boundaries (DCB) instead of the classic aggregate model.
Key is deliberately steering Pax8's billing engine toward DCB, rather than the aggregate-centric pattern.
“The aggregate no longer is the important consistency boundary,” as he put it, “and that reopens the door for rethinking what's possible.” Where it once took roughly nine months to teach engineers the aggregate model, Pax8 is now canonicalizing DCB patterns directly into the specs and agent skills its developers use daily. Key says this approach has established the concept faster because engineers can see what a tag-based consistency boundary produces instead of having it explained in the abstract.
2. Spec-driven, agentic development from day one.
Pax8 stood up a dedicated engineering team and is building the new billing system using spec-driven development. They chose this direction so that architectural patterns live in specs and reusable agent skills, rather than in the heads of the people who understand event sourcing best.
Event modeling is what feeds that spec-driven process. It maps the events and commands, and reads models up front, giving the team –– and the agents doing the implementation work –– a concrete, shared picture of the system before code gets written. It's also what reinforces the DCB and Axon patterns Pax8 is standardizing on.
3. Prove it, then replace it.
Key is candid that architects, himself included, normally tell companies not to rebuild a live system underneath itself. Pax8 is doing it anyway, but not as a single cutover. The team is validating the new event-sourced approach against the existing legacy billing system component by component and only replacing a piece of the old system once that validation holds. The new and existing systems run side by side and are checked against each other until Pax8 has evidence that the new path is right. This is the same discipline event sourcing brings to reconciliation, applied to the migration itself.
Underneath all three is a theme Key makes clear: Pax8 needed an event store as the agentic infrastructure. That framing gave his team the conviction to strategically align where Pax8's own product line is headed as it firms up its positioning around agentic offerings for its partner base. It's why Key describes this build as infrastructure for the business Pax8 is becoming, not just a fix for the one it has today.
"Pax8 is rebuilding the record behind its consolidated billing,and doing it by keeping every price and every reconciled invoice as a permanent event. That's exactly the foundation an agentic business needs to be able to answer for what it did."
— Jesús Centeno, VP of Alliances, Axoniq
A Source of Truth That Explains Itself
When Pax8's system settles a billing dispute, or when (in the near future) agents transact on a partner's behalf, the only record of why is the state it saw. This includes the price in effect, the vendor margin or platform fee on file, and the rule that applied, at that exact moment.
Because the new billing architecture is event-sourced, that context is kept as it happened instead of being reconstructed after the fact. For billing, that's the more immediate win. For a business repositioning around agentic AI, it's the same record doing double duty, as the substrate agents will need to act on Pax8's behalf and be trusted to do so.
Expected Impact
A reconciliation process built into the system by design, running against an actual record of what pricing and margins were, instead of being reconstructed after the fact.
Fewer disputes and unresolved claims reach partners, and a reduction in average time-to-resolution because the system can show its work, rather than Pax8 arbitrating between the partner and the vendor.
A migration Pax8 can validate incrementally: reconciliation against the legacy system first, component-by-component replacement second, and each step checked against the system it's replacing before going live.
The foundation is built for more than today's fix: as Pax8's business leans further into agentic AI, the same event-sourced platform underneath its billing is positioned to grow with it.
Why Pax8 Chose Axoniq
Axoniq has run real-time critical systems for 15 years, since before “agentic” was a word. Axon Framework, its open-source event sourcing core, has been in production with 90M+ downloads. Pax8's path, from a couple of components on Axon Framework with Postgres as the event store to Axon Server as the event store for its entire ecosystem, is one Axoniq has walked with other teams before, including regulated financial institutions where reconciliation and audit aren't optional. That's the same track record Pax8 is now building its own billing core on.
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