Multi-tenancy is a pretty compelling value proposition when you reach any kind of scale. If you're in a regulated sector, it's non-negotiable.
Relying on the cluster as the security boundary is very effective ... and very wasteful.
> Containers and Kubernetes are compelling for a variety of reasons, improving them to handle multi-tenancy is a broad challenge but I don't think the answer is to reduce the standard to what we have today (a bunch of disparate VMs).
I think the argument is that rather than the painful (and it will be very painful) and probably incomplete quest to retrofit multi-tenancy into a single-tenancy design, we can introduce multi-tenancy where it basically actually matters: at the worker node.
At first glance it's confusing to go from "one master, many nodes" to "one node pool, many masters". But it actually works better on every front. Workload efficiency goes up. Security surface area between masters becomes close to nil.
Very cheap VMs are the means to that end.
Disclosure: I work for Pivotal and this argument fits our basic doctrine of how Kubernetes ought to be used.