Software Companies Aren't Just Selling Code
The prevailing bear case for software companies suggests that as AI commoditizes the act of writing code, the proprietary value of software evaporates. If an LLM can generate a bespoke application in seconds, the logic goes, the "moat" of the SaaS business model is breached.
This view ignores the fundamental reality of enterprise procurement: companies don't just buy code, they buy a transfer of risk. Read more →