When AI starts doing the work: The new economics of software pricing

When AI starts doing the work: The new economics of software pricing

Artificial Intelligence is changing enterprise software in a way that goes beyond adding new functionality. It is changing what software can do for the customer—and potentially, therefore, what the customer should pay for it.For decades, enterprise software pricing has evolved from simple license models to increasingly sophisticated metrics: users, transactions, capacity, assets, locations, revenue, consumption and other measures that provide a reasonable proxy for customer value.AI does not make these metrics obsolete. But it does raise a more fundamental question: does the pricing metric still reflect the value being created?