A turning point for Saas: Not SaaSpocalypse, but an opportunity to differentiate

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The ‘SaaSpocalypse’ narrative continues to dominate investor outlooks, with fears that AI development is threatening the value of software companies. However, I believe that this is not a SaaSpocalypse, but instead a period of natural selection for the software industry – where the strong will thrive.

Chief of Staff and AI Lead at Forterro.

Widespread AI adoption is raising the bar, so SaaS providers must focus on delivering differentiated and highly valuable outcomes. Providers that are built on broad, undifferentiated offerings and don’t deliver clear, evolving value will soon go extinct and be replaced by simple AI solutions.

In contrast, software companies with true specialization, deep customer understanding, and defensible moats are well placed to strengthen and evolve their position in the AI era.

Deep customer knowledge

In the industrial mid-market, AI development needs to be grounded in practical applications. Manufacturers operate in physical, industrial environments where the priority is...

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