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Keep Building Your Saas – AI Won't Kill It

The Hype vs. The Reality

Welcome back.

Today, I want to address something circulating in the tech space lately:
The claim that “SaaS is dead.” You may have come across bold statements suggesting that AI agents will replace traditional software products entirely, and that we’ll soon all rely on personal assistants generating custom solutions on the fly.

Let’s take a step back and examine why this isn’t happening anytime soon, and why those of us building SaaS products are still solving real, critical problems.


The Hype vs. The Reality

First, let’s acknowledge the obvious: AI agents are powerful tools. They can generate code, respond to prompts, and automate many tasks. But here’s the important part—they still operate within SaaS products. Whether it’s OpenAI, Midjourney, Notion AI, or GitHub Copilot, these services are delivered through platforms that abstract away the complexity.

Now, think about your typical user or company. They’re not looking to set up their own LLMs, debug agents, or manage infrastructure. They want something that works out of the box. Something reliable. Something they can pay for and trust.

This is why people use tools like Google Docs instead of setting up LibreOffice on a Linux VM. SaaS wins because it removes friction. That hasn’t changed.


Reasoning

There are a few fundamental forces behind this continued demand for SaaS:

  1. Human Behavior
    Most people are busy. They manage teams, grow businesses, and solve domain-specific problems. They don’t want to build and maintain complex technical systems if someone else has done better.

  2. Economic Reality
    The AI agent ecosystem is still expensive and maturing. Building stable, production-grade systems around these agents requires deep expertise, and most businesses would rather buy than build.

  3. Enterprise Preferences
    Larger companies want predictability. Contracts, SLAs, customer support, feature roadmaps—these are all baked into SaaS models. Very few will walk away from that structure just to try out the next shiny tool.

  4. Psychological Simplicity
    Too many choices overwhelm people. SaaS solutions narrow the scope, offer an opinionated design, and provide guardrails. That’s what most users actually want.


Key Takeaways

  • AI isn’t replacing SaaS—it’s enabling it.

  • Most people and companies still pay for convenience, not complexity.

  • If you’re building SaaS today, you’re solving real problems in a scalable, valuable way.

  • The agent-based future may come, but it won’t eliminate the need for thoughtfully designed, production-ready software.

So let’s not get distracted by the hype. SaaS is far from dead. Keep building.

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