Apples to apples CapEx is better for the reason I described. The shift to OpEx and the rise of SaaS is more attributable to short-term budget flexibility. Takin

Apples to apples CapEx is better for the reason I described. The shift to OpEx and the rise of SaaS is more attributable to short-term budget flexibility. Taking depreciation is a tax advantage but only because the thing you own is depreciating. It's not free money. Capital expenditures usually require a large upfront cost, slow time to market and unpredictable scaling and maintenance. SaaS is usually turnkey, can scale up and down to match usage, and has less lockin. The benefits frequently outweigh the tax disadvantage.