The Future of the Software Industry
madro writes "Remember 'Does IT Matter?' a while ago? Nicholas Carr is back with an editorial in today's New York Times following Microsoft's decision to dramatically reduce its cash stash. Carr's take: Microsoft is admitting it can't find better uses for its cash, due to the growing maturation of the software industry. No mention of open source, although Apple's consumer-targeted model of free iTunes driving iPod demand is one listed alternative." Reader CodeArtisan submits another piece about Microsoft's loot distribution, and Newsforge (which is part of OSDN along with Slashdot) has a story about the future of commodity software.
I don't think that what software is turning into a commodity. It think what is happening is that it is getting very hard to charge premium prices for software that implements old solutions. My customers (mostly) don't care about programming languages, OSes, or database managers. But they sure have to pay for them.
But there is very little innovation left to be had in these basic layers, so why are we being charged thousands, and even tens of thousands, for licenses? Surely not to support R&D.
It may well be that we are entering an era when we will see a great blossoming of innovation, if only because sole proactitioners and small teams can afford to the tools to tackle the kinds of problems that need to be solved today.
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