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This is complete nonsense, right? SaaS prices have nothing to do with input costs --- prices are plucked out the air (or from somewhere else...) based on some g
by dboreham 3y ago
This is complete nonsense, right? SaaS prices have nothing to do with input costs --- prices are plucked out the air (or from somewhere else...) based on some guess about what the market might bear vs aspirations for volume. Then, once the smoke clears, you jack the price up a bit in order to buy a new boat.
- randomdata 3y ago> SaaS prices have nothing to do with input costs Price always has nothing to do with input costs. That is not unique to SaaS.
- mym1990 3y agoI think this is called price discovery.
- deleted 3y ago[deleted]
- SoftTalker 3y agoAs TFA says, these companies know that their "all in one" cloud offerings are sticky. My employer just spent the last few years going all in on Microsoft's cloud. We use it for email, productivity suite, Teams, storage. This was after several years of using Google's tools (though not with the same level of commitment -- we still used Office, and had Exchange and AD on premises). Google jacked their prices for Workplace so that was the motivation to move to Microsoft. I fully expect Microsoft to do the same, in another year or two, but this time around I don't think we'll change -- this time we're too invested, it would be too big a project and have too many ancillary costs. If we had been more "all in" on Google, we probably would have just paid the increase.
- deleted 3y ago[deleted]
- coffeebeqn 3y agoIt seems a little dangerous. Maybe many companies will be like - you know we panic bought all these online things during COVID and do we really use them all that much?