To be fair, software has higher profit margins than hardware. Even higher when you make that software as a service. A lot of the margins is diminished due to th

To be fair, software has higher profit margins than hardware. Even higher when you make that software as a service. A lot of the margins is diminished due to the physical upkeep, which can be argued as "hardware". I would agree that on-demand services, for the most part, aren't innovating: they're just facilitating consumer-merchant relationships.