The SaaSpocalypse Won't Kill SaaS

This article responds to the 'SaaSpocalypse' narrative triggered by AI tools like Claude Cowork, which caused a $300 billion SaaS market cap drop. The author argues that while AI makes prototyping cheaper, the real value of SaaS lies in understanding user needs, handling edge cases, maintaining code over years, and supporting enterprise requirements like SAML. Citing Retool's 2026 Build vs. Buy report, the article notes that only simple internal tools are being replaced, not complex SaaS platforms like Salesforce or Datadog. The core thesis: writing code is the cheapest part; everything else (users, maintenance, scalability) remains expensive.