AI-native software is outpacing legacy SaaS at twelve times the growth rate
Source: The Next Web
Enterprise software buyers are shifting spending from traditional per-seat licensing models to AI-native tools at a 94% growth rate versus 8% for legacy SaaS. The metric that matters is shifting from headcount to capability density and speed to ROI. This undermines the installed-base economics of incumbents like Salesforce and ServiceNow, whose decades of recurring revenue depend on seat-based pricing. Vendors like Cursor and Claude have a window to establish category dominance before enterprise procurement adapts. Established vendors that don't shift pricing architecture risk losing share to point-solution upstarts offering similar functionality without the per-employee licensing cost.