BIFURCATING BUDGETS

Summary from the TLDR Founders newsletter

Software budgets are splitting into two camps: AI-related spend, which is growing rapidly, and "legacy" spend, which is flat to shrinking. Buyers are scrutinizing every dollar to assess if it advances their AI agenda. Software companies are struggling as sales cycles lengthen from this budget bifurcation. To win, vendors must clearly articulate how they future-proof customers for an AI-centric world or risk being perceived as "legacy" and losing out on budget.