The quote originates from Netscapes founder Marc Andreessen. When he wrote it in 2011 he want to say that the time where software companies will take over large parts from the economy from more industrially controller companies had come.
The quote originates from Netscapes founder Marc Andreessen. When he wrote it in 2011 he want to say that the time where software companies will take over large parts from the economy from more industrially controller companies had come.
Software is so much more than just electronic tickets and personalized digital ads. With software, it's possible to optimize amounts of building materials, plan shipping, and schedule mantenance to minimize pollution just to name a few use cases. Another amazing use case is in healthcare where surgeons can practice difficult procedures in a digital simulation. A well-prepared surgeon reduces the risks of accidents and makes for more efficient healthcare.
Developing competitive software is both capital and labor-intensive. The first few years are rarely profitable and it takes some time before you reach a point where you can scale your business. The reason why software is so scaleable is the low cost of adding new customers, upselling to previous customers has even lower costs. Almost the whole sum of the upsell is added to the bottom line.
"Where ever you do, make sure you pay rent on time". That's a way of thinking most of us can relate to. For companies nowadays it's equally important to pay their software licenses. Without software for CRM, planning, and video conferencing it's very challenging to run an effective business in this digital age we're living in. For software companies, this results in recurring revenues for long periods of time.
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