SOFTWARE IN A POST-ABUNDANCE WORLD

Summary from the TLDR Founders newsletter

AI is transforming software production by making it cheaper and faster, leading to smaller teams, reduced margins, and shifting value from code creation to decision-making and integration. This shift challenges old economic models where large teams thrived under abundant capital and growth incentives, pushing the industry towards leaner operations and disposable software. Capital now focuses on leveraging AI in areas like healthcare and manufacturing, where software integration with domain expertise is harder to replicate, refining the industry's focus from quantity to strategic depth and adaptability.