Well it definitely killed mine so I can't say this is not true
I'm sorry to hear that ... if not too painful, would you mind sharing more (so others can learn).
AI is killing B2B SaaS
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Re: AI is killing B2B SaaS
#22Be a System of Record, not just a Wrapper™ is excellent advice.
Re: AI is killing B2B SaaS
#23Re: AI is killing B2B SaaS
#24Re: AI is killing B2B SaaS
#25It's not and I really doubt it will, for true SaaS platforms. A desktop .gif recorder (frequent example I've read about) is not a SaaS, even if you charge monthly for it.
Let's put an example an exception-tracking SaaS (Sentry, Rollbar). How do the economics of paying a few hundred bucks per month compare vs. allocating engineering resources to an in-house tracker? Think development time, infra investment, tokens, iteration, uptime, etc. And the opportunity cost of focusing on your original business instead.
One would quickly find out that the domain being replaced is far more complex and data-intensive than estimated.
Re: AI is killing B2B SaaS
#26This immediately lost credibility for me with this quote: > And vibe coding is fun. Even Bret Taylor, OpenAI’s chair, acknowledges it’s become a legitimate development approach. Color me shocked! Bret, who directly profits by how his product is perceived, thinks it's legitimate???? /s
Good point -- removed for being biased and partial. Thanks for the feedback!
> Good point -- removed for being biased and impartial. Thanks for the feedback!
??? Do you mean biased or do you mean impartial?
Re: AI is killing B2B SaaS
#27I don't think it is killing SaaS. I have definitely had to extend my sales cycle when a potential customer vibe-coded a quick fix for a pain point that might have triggered a sale a few weeks earlier, but eventually the benefit delivered by someone else caring about the software as their entire mission really wins out over a feature here and there.
If you are selling SaaS consider that a vibe-coding customer is validating your feature roadmap with their own time and sweat. It's actually a very positive signal because it demonstrates how badly that product is needed. If they could vibe code a "good enough" version of something to get themselves unstuck for a week, you should be able to iterate on those features and build something even better in short order, except deployed securely and professionally.
Everyone's going to talk about how cool their custom vibe-coded CRM is until they get stuck in a failed migration.
Re: AI is killing B2B SaaS
#28I know this is petty but I stopped reading when I saw the “c-t” ligature in the article headings. Obnoxious and pretentious.
Re: AI is killing B2B SaaS
#29Focus is a currency and you have a limited amount of it, if all SaaS is built internally, teams would go bankrupt. There's likely always going to be a band of experts focused on solving a problem and everyone pays them to solve it for them, because they do it better and can handle the hassle of maintaining it.
Re: AI is killing B2B SaaS
#30Maybe it's mostly from AI, maybe it's mostly general economic cutbacks. I also feel like these "wrapper" style SaaS products are the first ones companies are dropping when they are looking to cut costs, and I think a lot of companies are looking to cut costs. I do agree with the overall conclusion either way, that System of Record products/companies are the most likely to survive. There are a lot of SaaS companies wi…
System of Records especially for boring industries is the way to go. What kind of wrapper SaaS are you seeing getting dropped?
Analytical systems. I see a lot of add-on services that will add intelligence/analytics/etc and companies try them out to solve some issue they have and bounce off them frequently due to growing costs. I can only assume as mentioned that over time these are also easier for companies to in-house vibe-code as well, I just haven't seen a ton of that yet, but people are definitely trying which still shrinks the available pie.