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by idiocratic 98 days ago
The economics of software are very different from physical goods. Margins on software (products) are orders of magnitude higher. Any cost shaving done at coding time is economically irrelevant in the long run, detrimental to quality/reputation and could almost be seen as a risk. Furthermore, assuming the bottleneck in this process has so far been coding is pure BS.
3 comments

Margins on software will no longer be what they were, that’s the point. Commoditisation means software values will head to zero. Margins will depend on factors unconnected to the software itself. For example, brand, distribution, network effects, lock on, proprietary data.

It doesn’t matter whether coding was “the bottleneck”. It’s irrelevant. Fact is it used to be expensive to create software and now you’ll be to create it for super cheap. Yes, it won’t be as good. But the price will be so low it won’t matter. This is what commoditisation means. Forget the economics of software as you know it, that has ended.

> assuming the bottleneck in this process has so far been coding is pure BS.

This is the core insight for most businesses.

When evaluating the impact of AI on velocity, the first thing to consider is how long it takes for a one-line code change to get into production, including initial analysis and specs.

You can't get faster than this.

The cope island of objections will continue to shrink.

Being able to easy create apps means huge supply, which means commodification of software just like the commodification of physical goods. Mass supply means low prices. It won’t be economic to have artisan coders any more than to have artisan goods makers.

And yet people still want artisan goods, artwork, high end food, things that aren’t “economic”.
Very, very, few people buy these things.
Okay? It doesn't refute my point.
The point is that artisanal code is to a first approximation a thing of the past. Most engineers will not have a job writing code in these niches that survive, and thus coding as a career is effectively dead.