> Our thesis is that the cost of producing code is heading towards zero This (correct) thesis should illicit an interesting question about the future of SaaS markets: What happens to the SaaS markets when the cost of code approaches zero? Coincidentally, the company that authored this post is a perfect case study. Few people truly grasp how hard bringing a software product to market is. The feature density required t…
the reality actually is, you DO need depth in order to close lucrative enterprise contracts.
but startups will use anything. you use early money/traction to fund the deeper features. that's saas/startup 101.
anyhow, saas just means the second "s" matters more. maybe software gets cheaper (that's actually an unproven hypothesis), but service encompasses many dimensions. the most lucrative contracts won't be eaten by fly-by-the-night operations almost by definition. any startup that knows the words 'vendor risk' will tell you.