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Comment by alwillis

3 hours ago

> 1. We pay for saas, so we don't have to manage it. If you vibe-code or use these AI things, then you are managing it yourself.

> 2. Most Saas is like $20-$100/month/person for most Saas. For a software engineer, that maybe <1h of pay.

    |Segment                   |Median Enterprise Price                   |
    |--------------------------|------------------------------------------|
    |Mid-market                |~$175/user/month                          |
    |Enterprise (<100 seats)   |~$470/seat/month implied (~$47K ACV)      |
    |Enterprise (100-500 seats)|~$312–$1,560/seat/month range (~$156K ACV)|

Enterprise contracts almost always include a platform fee on top of per-seat costs (67% of contracts), plus professional services that add 12–18% of first-year revenue.

So for a lot of companies, it's worth using AI to create a replacement.

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alwillis

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mrbungie  3 hours ago

> So for a lot of companies, it's worth using AI to create a replacement.

I'll add the nuance that those might be big companies with slack capacity, or at least firms that already are at a point in their effort/performance curve where marginal effort injections in their core business are not worthy enough (a point that, without being big companies, would be actually weird). Even with AI and as processes become more efficient effort is at premium, and depending on your firm situation an man-hour used in your business might be a better use of effort and time that using it on non-core services.