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AI & SaaS Evolution: What Changes When Software Starts Building Software

Everyone is asking whether SaaS is dead. I think we're asking the wrong question.

Every few days, I come across another post claiming that AI will replace SaaS.

Some say SaaS is dead.
Others say SaaS is evolving.

I think both sides are arguing over the wrong definition.

For years, we've treated SaaS as software sold through a subscription.

But customers were never paying for software alone.

They were paying for reliability, Scalability, Security.

Continuous improvements.

A system they could trust to run every day.

AI is changing how quickly software can be built.

It isn't changing what customers ultimately value.

In fact, as AI makes building software easier, I think operating production systems will become even more important.

Reliable architecture.
Stable deployments.
Observability.
Infrastructure costs.

Production engineering doesn't become less valuable.

It becomes the differentiator.

Maybe SaaS isn't disappearing.

Maybe the definition of SaaS is changing—from selling software to consistently delivering outcomes.

That's the conversation I think we should be having.