[prepend]

Not for cloud services. Cloud prices have been deflationary for decades. And this makes sense as software has a near zero marginal cost and efficiencies in hardware and data center management are occurring faster than “normal” inflation.

[Satam]

But the prices for everything else that the company's owners and employees consume are rising.

[prepend]

That’s true but that’s what I meant by software has near zero marginal cost. Employees scale massively with cloud providers.

I mean a single sysadmin can automate and manage a million vms. So if the admin’s salary goes up 10% then that’s almost nothing in terms of costs for customers.

This is different from other brick and mortar businesses where the price of corn goes up 10% so the price of potato chips goes up 10%.