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Is the Software Market in Trouble?

Tom Tunguz

Last week, public software markets suffered significant compression. Future revenue ramps have been the dominant driver of software valuations for the vast majority of the last decade. Some context is helpful : during the same period, total software revenue across the public companies grew from $124b to $592b.

Software 263
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Are Software Companies Good Businesses?

Tom Tunguz

In “Do software companies actually have good margins?”, ”, Benn Stancil makes a case for a counterintuitive point : Software companies are much less profitable than they might seem. Because the research & development costs associated with software should be part of their cost of goods sold.

Software 231
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Massive Acquisitions in Software Startups

Tom Tunguz

In the last decade, the total number of venture backed software M&A by count has remained relatively constant. Nevertheless, there are huge differences between the total value created by software M&A annually. What drives the acquisition market of startups? It’s the big deals.

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No SaaS! How AI Agents Will Change Software Pricing

Tom Tunguz

3x as productive as humans, which would parallel mechanical robots, how does a software company price? Building on yesterday’s post , pricing in software companies may change significantly when AI agents become the norm. What does a software seat mean when a human is no longer operating the software?

AI 218
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Why Software Companies Should Adopt the Mindset of a Payments Company

In today's tech-driven world, software companies are poised at a pivotal crossroads. Dive into the dynamics of how this integration can amplify a software company's value proposition, making them not just observers but active propellers of digital commerce.

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Frequently Asked Questions: Integrated Payments for Software Companies

USIO

Here are some of the most FAQs software companies ask Usio about integrated payments, along with comprehensive answers to help you navigate this critical aspect of your business. Integrated payments refer to the seamless incorporation of payment processing capabilities directly within a software application.

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Coate: We Have a 25 Year IPO Backlog. But Software Will Bounce Back Soon.

SaaStr

SaaS and Software Multiples Are at Near All-Time Lows — Because Growth Has Slowed We already know this, but why? Software Growth Will Bounce Back, With AI As the Accelerant Coate believes software growth will rebound, it’s just the next wave after semiconductors and infrastructure. Coate believes it’s simple.

Software 267
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6 Reasons Why Your Integrated Payments Strategy Could Fail

If you're in the software industry grappling with integrating payments into your business model, understanding where others have stumbled can be a game-changer for your revenue goals. This article serves as a comprehensive guide, offering actionable insights for software companies. Discover 6 key reasons behind the struggles many face.

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Demystifying DAPs: A Practical Guide to Digital Adoption Success

Speaker: Pulkit Agrawal

Digital Adoption Platforms (DAPs) are revolutionizing the way organizations interact with and optimize their software applications. As digital transformation continues to accelerate, DAPs have become essential tools for enhancing user engagement and software efficiency.

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The Path to Payment Control: How SaaS Companies Can Maximize Enterprise Value

For software company executives, maximizing revenue, profitability, and enterprise value is of utmost importance. A key factor in achieving these goals is having a solid integrated payment strategy in place — one that allows for control, ownership, and leverage over customer relationships and payment service contracts.

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Leading the Development of Profitable and Sustainable Products

Speaker: Jason Tanner

While growth of software-enabled solutions generates momentum, growth alone is not enough to ensure sustainability. You’ll receive a template to apply for your solution and opportunity to receive the Software Profit Streams™ book. The probability of success dramatically improves with early planning for profitability.

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Secure SaaS Success: Embedded Finance as a Competitive Advantage

Speaker: Ian Hillis, SVP of Growth at Payrix and Worldpay for Platforms

Join us for an exclusive webinar hosted by Ian Hillis, SVP of Growth at Payrix and Worldpay for Platforms, where he’ll explore the significant impact of embedded finance on the software industry!

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The Power of Co-Branding and White Labeling in Integrated Payment Solutions

This article explores the subtle yet impactful differences between third-party, co-branded, and white-labeled payment integrations, offering critical insights for software companies. Discover how co-branding and white labeling can transform your integrated payment solution to enhance user experience and build customer trust.

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Is Your Partnership Toxic?: Evaluating Integrated Payments Partnerships in SaaS

Is your integrated payments partnership maximizing your software company’s value or stifling its growth? Discover whether your payment processor is a true collaborator or a limitation on your company's aspirations by delving into our informative article.

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SaaS Payments 101: Roadmap for Monetizing Payments

Embedded solutions have taken the software industry by storm and disrupted the traditional distribution network for financial services, like payment processing. Explore this whitepaper to learn more about the payfac opportunity and why it has never been more important to your software business.