The CEO of a $95 billion company just said something that should TERRIFY every software executive on the planet.
Patrick Collison, the man who built Stripe, went on TBPN last week and compared the entire software industry to frozen food.
His words: "Software has been created years beforehand, freeze-dried, and then prepared at the moment of consumption."
That era is ending.
His new model for software? Pizza.
Fresh pizza, made to order, right then and there.
Exactly what you need, the moment you need it.
That is the future Collison sees for all software.
What does that actually mean?
It means AI agents will build you custom software in real time.
No subscriptions, bloated dashboards and one size fits all.
Software cooked for you, that moment, then gone.
This is already happening.
Anthropic launched Claude Cowork in January.
Within weeks, $2 trillion in software stocks evaporated.
IBM had its worst trading day in 26 years, legalZoom dropped 20% and the entire SaaS sector is in freefall.
They're calling it the SaaSpocalypse.
The old software model was simple, spend millions building a product, sell it to everyone and collect subscriptions forever.
Fixed cost, infinite monetization and winner takes all.
That game created trillion dollar companies: Salesforce. Adobe, Oracle, Microsoft.
Collison says that game is now breaking.
Why? Because AI introduces real cost at every use.
Inference costs, custom creation costs, every single interaction has a price tag.
No more build once, sell forever and he called it the non-Walrasian software regime.
Translation: The winner take all economics that built Big Software are collapsing.
When every user gets custom software built on demand, there is no single winner.
There are thousands of winners or none.
Think about what this does to pricing.
No more $50/seat/month or enterprise contracts worth millions.
Instead, you pay per task, outcome and for what the AI actually built you.
The entire revenue model of SaaS is being rewritten.
Klarna already ripped out Salesforce and replaced it with AI.
Cursor ditched its paid CMS and built a replacement from scratch.
Companies are doing this now.
The dominoes are falling.
The entire industry is being rewritten in real time.
@Saboo_Shubham_ Ok.. that sounds great... but what do they actually do? Like all day, every day, what's the output. What decisions are made, what products/services/problems resolved, etc? I haven't seen a clear overview of what this type of setup can actually achieve.
I have to say @Apple your speech to text in iOS is absolutely terrible. It gets probably half of what Iβd say completely wrong even when I over annunciate. Wispr Flow, on the other hand, gets it almost 100% correct all the time. How can yours be so bad?
@elonmusk in your abundant free time π think about starting an insurance company, completely running on AI. Unbiased, fair decisioning - negating massive CEO and executive salaries, shareholder influence, and makings things fair and affordable. You'd dominate in a week.
@EricLDaugh This is beyond insanity... What is the recourse to validate the continued medical licensure over something like this? How can a medical doctor not be able (i.e. refuse) to answer a simple, SIMPLE, question in an official hearing? This has to stop...
Not sure what's going on with #chatgpt and @openai lately, but trying to use ChatGPT on a desktop is so unbearably slow it's unusable. Seems ok on mobile - but desktop experience is terrible. #ai#chat#genai
Hey @facebook , pleae add an "AI button" on each post so you can fact check it (like the #Grok button on each post on "X"). That's one of the best features - and there is so much disinformation on FB right now, especially around cures, new medicines, etc., it would be great to be able to fact check a post on the spot.
Social media and personal privacy. Think you know what's up? Maybe, maybe not. Check out this quick snippet and potentially learn a few things - or share with someone who might benefit. #socialmedia#privacy#cybersecurity
@niccruzpatane That's an insane alignment of humility, honesty, luck, timing and some invisible variables that make absolutely no sense. Thankfully Sega went against all rational thinking and swung the bat. The rest as they say... is history.
@Cheriseajbof Simultaneously incredibly impressive and massively stupid at the same time. (only in that the risk of serious injury if he tripped/fell, got snagged and dragged, run over, etc.) = But damn he's got some skills! πͺπ