Crony capitalism may be cannibalizing productive capitalism in the U.S.
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Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#2Just to kick off some discussion. Do you guys think that the shift from on-prem to SaaS is indicative of a move towards rent extraction?
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#3Just to kick off some discussion. Do you guys think that the shift from on-prem to SaaS is indicative of a move towards rent extraction?
You see this in the weirdest places (government data processing, for instance) and I suspect this will continue to grow until there are some high profile data leaks at such SaaS providers. Way too many important eggs in single and often badly secured baskets.
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#4Just to kick off some discussion. Do you guys think that the shift from on-prem to SaaS is indicative of a move towards rent extraction?
Not necessarily as overhead operational costs are lowered with the SaaS model and that's not true 'rent'. Licensing fees would be considered 'rent' but obviously necessary as a motivator for production.
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#5Just to kick off some discussion. Do you guys think that the shift from on-prem to SaaS is indicative of a move towards rent extraction?
No more than paying for any other software.
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#6Just to kick off some discussion. Do you guys think that the shift from on-prem to SaaS is indicative of a move towards rent extraction?
You see this in the weirdest places (government data processing, for instance) and I suspect this will continue to grow until there are some high profile data leaks at such SaaS providers. Way too many important eggs in single and often badly secured baskets.
Like when MJ Freeway had a breach in Jan affecting Nevada Marijuana enforcement? A SaaS the State purchased?
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#7Just to kick off some discussion. Do you guys think that the shift from on-prem to SaaS is indicative of a move towards rent extraction?
No. SaaS is a pricing model, rent extraction is a business model. You can have rent extraction on-prem and competitive business with SaaS.
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#8> Crony capitalists seek to generate profits without producing anything of value.
If they are generating profits, then they are doing something valuable. Are they sucking cash out of the government? Maybe, but it's valuable to somebody. You want to fix it? Don't try to fix the entrepreneurs, fix the goddamn government.
Most of these Comcast-type rent-seekers are complete and total assholes, I agree, but I'm not about to hold my breath waiting for them to stop going where the money is.
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#9Just to kick off some discussion. Do you guys think that the shift from on-prem to SaaS is indicative of a move towards rent extraction?
By default, I'd guess, no. But I feel it can and, often enough, is. Many SaaS companies will raise prices year over year without providing any additional value. That increase seems to fit the definition here.
Re: Crony capitalism may be cannibalizing productive capitalism in the U.S.
#10> Crony capitalists seek to generate profits without producing anything of value. If they are generating profits, then they are doing something valuable. Are they sucking cash out of the government? Maybe, but it's valuable to somebody. You want to fix it? Don't try to fix the entrepreneurs, fix the goddamn government. Most of these Comcast-type rent-seekers are complete and total assholes, I agree, but I'm not about…
Of course it's valuable to someone. That isn't the point.
The point is whether it grows useful economic activity, or whether it actively slows useful economic activity.