this post was submitted on 15 Dec 2023
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This sounds almost identical to the script our former VP of PM parroted. Everyone in engineering was vehemently opposed. But the C suite loved it, so we switched to a subscription model. Guess what, NEMs and govt clients don’t like paying subscriptions. No one does, but these are huge, powerful business entities we’re talking about here. You can’t force their hand. We lost 3 of our 4 biggest clients within 6 months. It took a massive amount of work to reverse course.
Just admit it. Subscriptions are nothing more than a blatant money grab. We (the SW industry) have been successfully releasing software and making fucktonnes of money for decades before some bean counter decided to get too greedy and come up with this bullshit.
I will absolutely give you that transitioning an established mature product to the subscription model is usually a terrible idea. Plenty of examples of that going horribly wrong.
As for subscriptions being a “blatant money grab” that definitely happens sometimes… notably when there’s a mature product with a dominating market share. The company already captured most of the market share, so they can’t get much more revenue from new customers, existing customers are satisfied with the version they have so they’re not buying any updates. Sales go down and someone comes along say just make it a subscription and keep milking the cash cow forever…. Yep, I admit it, that totally happens. The enshitification ensues.
But none of that’s the fault of the subscription model per se.
The same subscription model that becomes the incumbent’s downfall, is what creates a market opportunity for a new competitor.
A new competitor can coming in with a new product that was built with a subscription model from the start. The competitors product is cheap to try for a month, cheap to switch to with no big upfront costs. The newcomers can generally react much faster to customers needs than the incumbent. (Not because of the model, they can because they’re smaller)
Established software companies doing blatant money grabs happen all the time. Hell most of us are here using Lemmy because Spez attempted a blatant money grab on Reddit. Had nothing to do with the model.
Subscription model gets a lot of hate because greedy companies tried to use it as a blatant money grab exactly as you described. But it doesn’t have to be that way.
Subscription models make it easier for newcomers entering a space, which is good for consumers. It’s more compatible with agile development methodologies because you don’t need wait until you’ve bundled enough features together to market it as a new version worth upgrading to. It’s in your best interest to ship new features immediately as they’re developed.
It’s totally fair of you don’t like the model.
But the model itself isn’t the problem.
Shitty companies being greedy will always happen.
Fair enough. I think us and everyone else on this thread can definitely agree on that last point, at the very least. 🫡