[BloondAndDoom]

It will be race to bottom for SaaS in terms of pricing, with lots of alternatives to every SaaS.

It’s not about personal software it’s about how 1-3 people team will deliver a SaaS that actually works at scale for the 1/10th of the price.

In terms of personal software, he’s absolutely right, it’s great for hobbyist and things like in house tooling but that’s it.

[fnoef]

Competing on price was never a good strategy. Moreover, price segmentation is still a thing. You can buy Chinese Rolex knockoffs for $7, but people still buy $10k Rolex.

[BloondAndDoom]

It’s always been profitable (not Apple profitable), if I’m making $1M profit with 3 people team, isn’t that enough? You don’t think everyone always pay for the top products right, it’s why you have hundreds phone brands and car brands, tens or hundreds of software vendors in the same field and still make money.

If you don’t need 1M investment to start a business than tons of people will start those business around the world, and guess what some of them will be truly good, and people will use different tools, interoperability etc. will be much easier to solve with AI, so locking is not big deal, workflow integrations not big deal.

All of it will take time but surely will happen.

[wewtyflakes]

That's for signaling purposes, not for functional purposes. Who is buying SaaS for signaling purposes over function?

[fnoef]

People who need support, and compliance? Things that AI generated slop can not provide

[wewtyflakes]

I think the AI would be exceptionally good at support, especially for a codebase that it owns, but you are right about compliance.

[surgical_fire]

> It’s not about personal software it’s about how 1-3 people team will deliver a SaaS that actually works at scale for the 1/10th of the price.

Is this already happening?

Shouldn't it be?

> In terms of personal software, he’s absolutely right, it’s great for hobbyist and things like in house tooling but that’s it.

That much is true.

[BloondAndDoom]

AI coding really picked up 3 months ago, before that it wasn’t really delivering this levels. So if people started to work on stuff 3-6 months ago, yes I think we will start to see more competition. AppStore is already flooded.

The biggest problem is discoverability, doesn’t matter what you built if you cannot advertise it won’t matter. But there a lot fields where enterprise SaaS is 5-10K, if you cans build the same product and sell for 1K and make profit yet it will work. And just to be clear this is already working in tons of enterprise markets, there are small players who follows this strategy but this time 1-3 people will able to follow this strategy instead of 20, which is a game changer and will change the market forever. Not all but most big enterprises going grow much slower, and valuations will crash. It might take 2-5 years though, it’s just nature of SaaS, it takes a while to slow 100mph train.

[habinero]

A lot of SaaS services have open source solutions that are the same, on par or better and yet people still pay for SaaS.

If they're not doing it now, why would they do it when they have to build it, too?

[BloondAndDoom]

No they don’t, not the with same features set, not with the same quality, not with the same support and not with hosted capabilities. New AI world makes all these possible while still being cheaper and not funded by VCa and not owned by apes. Economics have changed

[carlosjobim]

What's an example? Not a product aimed at software developers or sys admins.