It’s not even growth or ROI. It’s that reliably recurring revenue is valued at a much higher multiple than non recurring revenue. VCs and other investors inclu

It’s not even growth or ROI. It’s that reliably recurring revenue is valued at a much higher multiple than non recurring revenue. VCs and other investors including public markets would rather see $1M ARR recurring through subscriptions with low churn than a single year with $10M revenue and no subscriptions. Even multiple years of growth in non recurring revenue will often be valued lower than less growth in subscription revenue. This is why SaaS type models have taken over and why every other business is trying to desperately shoehorn in some kind of subscription revenue. The latter gives us car companies with subscription cloud unlock services, etc.