End of Software, The: Finding Security, Flexibility, and Profit in the On Demand Future

The Recount

A software company executive should consider the difference between the traditional software company and a software company using the software on demand model. Start with the cost of R&D. As we've already seen, the amount of money spent writing software is a small part of the equation. We'll assume that's constant in the software on demand model. That said, there are two significant changes. First, rather than spending money on supporting many old releases, in the software on demand model, we can support fewer releases because part of the design is to provide the change management services to move customers to the latest versions of the software. This reduces costs for the customer, but in this context, it also reduces cost for the ...