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One Thing is Clear: AI Makes a Lot of Business Software Look Awfully Expensive Today. Is Deflation Coming?

SaaStr

50 cents of compute for 500 dollars of value — Sam Altman (@sama) February 3, 2025 So just how much will AI remake classic B2B software? Software is so much better than it was just 24 months ago. The post One Thing is Clear: AI Makes a Lot of Business Software Look Awfully Expensive Today. We are still learning.

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Clouded Judgement 12.1.23 - Net New ARR Starts to Rebound + AWS ReInvent Recap

Clouded Judgement

Every week I’ll provide updates on the latest trends in cloud software companies. Subscribe now Amazon ReInvent This week Amazon had their annual AWS ReInvent conference. ” AWS fully embracing the breadth over depth approach. Is this a sign that software headwinds have bottomed?

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The Top SaaStr Posts and Pods of the Week: CEOs Monday + Procore, YCombinator on Fundraising, The 2025 Vibe Check

SaaStr

One Thing is Clear: AI Makes a Lot of Business Software Look Awfully Expensive Today. Iconiq: Top Quartile B2B Companies Are Growing 100% at $25m ARR And Are Planning to Grow 35% Faster in 2025 #4. How AI is Really Changing SaaS From the CEO of Procore, co-CEO of Monday and Chair of HubSpot #5. Is Deflation Coming? Top Pods and Vids: #1.

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Search at Intercom: Building our Elasticsearch cloud on AWS

Intercom, Inc.

A large part of making this belief a reality is the idea of running less software. For this reason, we chose to run exclusively on AWS and wherever possible, we make use of battle-tested AWS services, be it RDS Aurora for our relational databases, the Simple Queue Service (SQS) for our async workers or ElastiCache for our caching layer.

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How Generative AI Will Turn Traditional SaaS Models On Their Head with AWS VP of Generative Builders Adam Seligman

SaaStr

Within the next 12 months, Adam Seligman, VP of Generative Builders at AWS, believes there will be an inversion of SaaS. It’s expensive and time-consuming to build software. 2 It’s expensive and time-consuming to build software. What does that mean? That many of the standard assumptions and ways of doing SaaS will change a lot.

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A Look Back at Q1 '24 Public Cloud Software Earnings

Clouded Judgement

Q1 was a very weak quarter of software earnings. It’s worth pointing out that Azure is a bit above the long term trendline, while AWS is still below (but accelerating up). I’m calculating FCF by taking the Operating Cash Flow and subtracting CapEx and Capitalized Software Costs. net retention and CAC payback).

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Gartner: Software Spend Will Grow 13.8% in 2024, to Over $1 Trillion For The First Time

SaaStr

If you’re selling software to SMB merchants and outside of tech like Shopify and Toast and Monday , things are pretty, pretty good, if in some ways still harder than before. If you’re selling sales and marketing software, like Zoominfo, it can seem a lot tougher than 12-18 months ago. With some big caveats.