Software businesses are being revalued because the software itself is no longer a moat. What is valuable is customers and brand.
>>108009773this doesnât affect me since I only use open source
>>108009773haha, fuck Salesforce in particular. "we don't need workers because of AI."
They're all overinflated trash companies.
>>108009773>What is valuable is customers and brand.That's been the case forever. Do you think Facebook paid $1billion for instagram because it was hard to write?
>>108009773>Omg sock prices are downWhen will tards learn that the stock price reflects investor sentiment, not the actual value of the company?
>>108009773Hard to keep customers when your products keep fucking up and brand value declines rapidly if your products keep fucking up. The MBAbros running these companies thought they could keep cutting, well past the fat, well past the muscle, and right through the bone, as in their minds 'cutting = bonuses and promotions'. But they've cut so deeply now that their products are shit. The people who built the products in the first place were cut long ago. Their products kept working until those maintaining them were cut. Endless cuts, without understanding why cuts in the past brought bonuses and promotions. There's nothing left to cut. There's nothing left to sell. It's all piles of dust and the MBAbros don't understand why the customers don't want piles of dust or why their cuts aren't bringing the bonuses they once did.
>>108009773That was always true
>>108010092>It's all piles of dust and the MBAbros don't understand why the customers don't want piles of dust or why their cuts aren't bringing the bonuses they once did.They don't think about the needs of the customer, they are not old school entrepeneurs who almost consider their company one of their children. MBAs are middle men that are trained to increase efficiency. And tech, due to how easy it is to scale compared to say a factory, has a business model of attracting capital, using this to undercut/buy out competition while running at a loss while rushing for a monopoly. Then you need to start actually making money to pay for debts, or jack up the earnings to sell your company. Hence enshittification and too many cuts. AI is the latest example of this, with the caveat that costs scale WAY harder with more users than with other software.
>>108009975All these companies have is user count and investor sentiment. They are assetless.
>>108010092No, this shit is intentional.Users don't spend enough time on a well working practical site - they get what they came for and leave, which means lower engagement, which means less advertising money.So they make the site worse to force you to spend more time on it. And since tech is controlled by a few huge monopolies you don't have a real alternative and you have to eat their shit.
>>108010288>tinfoil hat bullshityour very first premise is wrong, "get what they came for" what the fuck does that even mean do you live in 1997? ads are not a source of real money, subs are.
I contribute to open source software with intention to make software that is both good and free which is at odds with proprietary products that depend on profit and aren't even that good.
>>108010305We know Google did this from their own internal internal memos.Educate yourself.
>>108010320You mean a fucking search engine? You search you click. you get what you need in 5 seconds. Upgrade ur fucking braincells
>>108010317All you're doing is feeding SaaS and AI slop.
>>108010326Good. I run open models and tools locally myself for a variety of different things. I hope they continue to improve.
>>108010325Instead of embarrassing yourself further with your ignorance you could have just did what I told you and educate yourself.
>>108009773if software is no longer a moat why don't you just make a Photoshop clone for linux since it's so easy now?
>>108010337You're a fucking idiot and don't even understand the how any of the companies listed operate or make money.>ah man you see they intentionally make their product difficult to use so that you see two more 1 cent adsyou literally live in 1998
I am not familiar with most of these companies but the ones I am familiar with look like they could be trivially disrupted by current advanced NLP models aka glorified Adobes.
>ServiceNowSAAAAR NOOOO PLEASE DO NOT REDEEM THE TICKET!!!
Software is over in general everyone will have bespoke in-house software never even read by a human before deployment in 5 years time.
It's all corposlop services. If you're in a massive recession this is what you'd expect to see as all their customers go out of business.
>>108009773This is retarded and short sighted analisis. Sadly even the economy specialists are too stupid and focused on immediate profits.Customers of your product don't exist without product and brand is useless withour customers.
>>108009773This whole "basic CRUD logic over a UI" app paradigm is being disrupted by genAI, mainly because such CRUD apps are 90% of its training data. That doesn't mean more interesting and unique things aren't possible. I think there's still a vast wide open AI app economy, even if we're stil in the pet.com days and nobody has figured it out yet. If you can't see the potential in this technology 5 or 10 years down the road, as imperfect as it is now, you're stupid.
>>108010865>This whole "basic CRUD logic over a UI" app paradigm is being disrupted by genAIis it really? the CRUD logic is not where most of the complexity lies even in a project that on the surface mostly does CRUD.
>>108010676>Software is over in general everyone will have bespoke in-house softwarecontradictory statement. if everyone had bespoke in-house software the demand would explode even if AI did 90% of the work.
>>108009773Best explanation is that AI introduces risk and makes software valuations less justifiable. There is also more potential but for existing companies the risk outweighs the potential.examples:Duolingo can potentially become the best language learning tool ever made but what if AI makes language learning completely irrelevant.Adobe can potentially become the number one creative tool for AI users but what if a newcomer snags that from them.
>>108010996i agree with your first sentence, the rest not so much. the risk of AI is not that it does something too well.it's that it's non-deterministic and without close supervision deteriorates the quality of the product.it's more important to do something correctly than it is to do it fast.Duolingo already uses AI heavily and it's shit.
>>108010342You don't even need to anymore>photopea.com
>>108011042Well duolingo in general is shit with or without AI but they are still growing and making more and more money every quarter. The stock would be up in normal times but the market thinks they are on loose ground because competition and possible displacement from ai. The stock had a small crash when openai demonstrated their real time translation.
>>108009773public tech companies are scams by indians that suck in investment money.
>>108011136i was talking about quality of their product, not the stock price.people are shitting all over their japanese AI content for example: https://www.youtube.com/watch?v=HV15o0tTeCc
>>108011175Well they are getting more users and the users are buying more subscriptions. Maybe language learning is not the product but it is more like entertainment and maybe the more shit it is the more entertaining it is.
>>108010865There he goes deflecting again. No child, we're not going to invest in your startup because the "vibes" are telling you "5 more years sir".
>>108010251But in one way or another they do make money and become stable eventually, America just has a shitload of credit opportunities, venture capital and fiscal mechanisms like bankrupcy and secondary corporate debt market like you've mentioned by the end to make this really smooth.
>>108009773>Figma>Software
>>108009773Docusign - a company that let's you scribble your mouse to sign a doc is valued at 10b
>>108009773>What is valuable is customers and brandwhat was valuable to customers was brand.FTFY.You see, as their experience gets shittier, they associate that brand with being shitty. As a brand, once you get shit all over your stick people stop wanting to touch it. Gets mighty difficult to get it off, too.That's why "alternatives" are popular about now. The brands they recognise are recognised as being shitty.
