The Economics of AI Usage and What's Next For SaaS | Benedict Evans
Evans cuts through the hype with actual economics of what AI does to software buying decisions.
Watch on YouTube youtube.com →
Building & Product
Video
Video
Video
Video
Video
Podcast
Podcast
Article
Article
Article
Thread
Article
Article
Guide
Article
Article
Article
Article
Why use AI to build databases and internal dashboards instead of buying SaaS?
The math has flipped: AI coding tools have collapsed the cost of custom software, so a founder can now get a tool shaped exactly to their workflow for less than a year of SaaS subscriptions. Retool's own research found 35% of teams have already replaced at least one purchased tool with something custom-built, and small companies are quitting Salesforce for Claude-built CRMs. Buying still wins for commodity needs like email and payroll; building wins when the workflow is your edge or the SaaS forces you into its shape.
Go deeper
18 resources.
Why Balaji Srinivasan Thinks the SaaS Apocalypse Is Overhyped
The strongest counter-argument to rip-and-replace, so you build with open eyes.
Watch on YouTube youtube.com →
The New Way To Build A Startup
YC on why the winning startups now automate internal functions with AI instead of hiring faster.
Watch on YouTube youtube.com →
How To Build A Company With AI From The Ground Up
A YC partner's playbook for making build-not-buy the default from day one.
Watch on YouTube youtube.com →
If I wanted to build $1M+ AI startup in 2025, I'd do this
Isenberg's build-first operating philosophy, including where AI-built tooling replaces bought stacks.
Watch on YouTube youtube.com →Anish Acharya: Is SaaS Dead in a World of AI?
A VC who funds both sides argues out loud where SaaS survives and where custom AI tools eat it.
Open a16z.com →We replaced our sales team with 20 AI agents | Jason Lemkin
Lemkin actually ran the experiment of replacing bought tooling and people with AI, and reports the messy truth.
Listen on Spotify open.spotify.com →The Build vs. Buy Shift: AI, Shadow IT, and the SaaS Replacement Era
Hard survey data on the shift: 35% of teams already replaced a bought tool with a built one, 78% plan to build more.
Open retool.com →Software's YouTube Moment is Happening Now
The clearest framing of why non-engineers building their own software is a structural change, not a fad.
Open a16z.com →We replaced our sales team with 20 AI agents (essay version)
The written breakdown of the same case, with the operating model you can copy.
Open lennysnewsletter.com →Karpathy's original vibe coding post
The 4.5M-view post that named the movement making DIY internal software possible.
Open x.com →Small companies using Claude to quit Salesforce, The Information says
Reported cases, including a 55-person firm saving ~$100k/yr by replacing Salesforce with a Claude-built app.
Open tipranks.com →5 Vibe Coding Use Cases Every Company Can Start Using Today
Concrete internal-ops use cases (approvals, onboarding, purchase orders) you can steal this week.
Open forbes.com →How Anthropic teams use Claude Code
Legal, marketing, and finance teams building their own tools instead of filing tickets; proof it works beyond engineers.
Open claude.com →Four Case Studies in Vibe Coding
Sober, named case studies of AI-built software inside real organisations, not demo-ware.
Open itrevolution.com →Death of Software. Nah.
Why the build-vs-buy answer is 'more software everywhere', with the nuance most hot takes miss.
Open a16z.com →Good news: AI Will Eat Application Software
The investor-grade argument for why bespoke tools now compete with application SaaS on cost.
Open a16z.news →AI-Driven, Founder-Led: The 2025 State of Micro-SaaS
Data on how solo and small founders are shipping their own software with AI leverage.
Open freemius.com →More in Databases & Internal Tools
- How do founders build CRMs, trackers, and admin panels with AI tools? 20 →
- What's the fastest path from spreadsheet chaos to a working internal tool? 18 →
- Which AI app builder should I use for internal tools: Lovable, Bolt, Replit, v0, Retool, or Glide? 18 →
- What database should sit under my AI-built internal tool: Supabase, Airtable, Postgres, or a spreadsheet? 18 →
- How can my team ask questions of our data in plain English instead of writing SQL? 18 →
- How do I keep customer data safe in an AI-built internal tool? 18 →
- How do founders automate data entry and keep tools in sync using AI agents (n8n, Zapier, Make)? 18 →
- When does an AI-built internal tool break down, and when should I bring in a professional developer? 18 →
- What does building and running internal tools with AI actually cost compared to SaaS subscriptions? 18 →
- How do I get a live dashboard of my business metrics with AI instead of wrestling with BI tools? 18 →
Also in Starting Up
The same ground, over in Build the product, our Starting Up track.
eChai Partner Brands
