Evolution of Software Cycles

The evolution of software cycles has seen a shift from large monolithic software to SaaS vendors like Salesforce, defining the cloud. Currently, there is a disruptive cycle where legacy products are being replaced. Generative AI enables cheaper delivery of functionality, with the ability to provide 80% of features at a 90% discount. The market trend indicates a move away from expensive, monolithic software companies towards smaller, more cost-effective solutions, leading to a potential cycle of business model transformation and layoffs in the next decade.

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