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Is software supposed to be a low marginal cost business? Why would I need more engineers if my site has 50% more traffic?
by underbluewaters 4y ago
Is software supposed to be a low marginal cost business? Why would I need more engineers if my site has 50% more traffic?
- prewett 4y agoStrictly speaking, software as a low-cost marginal business originally referred to shrink-wrapped application software. If your website is basically a buy button with a download link, you fall into that category. But now your distribution needs have scaled, so either you hire more people to deal with shipping out CDs, or make sure your website scale. And if your software is the distribution (as is the case for websites, SaaS, cloud apps) you might need more engineers.