This arch is how the big players do it at scale (ie. datadog, new relic - the second it passes their edge it lands in a kafka cluster). Also otel components lack rate limiting(1) meaning its super easy to overload your backend storage (s3).
Grafana has some posts how they softened the s3 blow with memcached(2,3).
1. https://github.com/open-telemetry/opentelemetry-collector-co... 2. https://grafana.com/docs/loki/latest/operations/caching/ 3. https://grafana.com/blog/2023/08/23/how-we-scaled-grafana-cl...
I know the post is about telemetry data and my comments on grafana are logs, but the arch bits still apply.