@SaleeshaPega now recommends using applications instead of components for reusable building blocks because applications offer better control over versioning, access, and lifecycle management. Built-on applications allow sharing reusable rules across multiple applications more effectively than components, which had limitations in rule resolution and governance. Applications simplify deployment and CI/CD processes, making it easier to manage dependencies and package rules with product rules and pipelines. They also align better with Pega’s Constellation UI architecture, which emphasizes modular design through built-on layers rather than fragmented components. Built-on applications support a clearer inheritance model, improving reusability and maintainability. For reusable functionalities like integrations and common services, creating a separate application and using it as a built-on layer is now the recommended best practice ​​​​​​​