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abejoratoday at 11:46 AM3 repliesview on HN

We noticed this also for the online software services that we use. Many of them increased in price, which I can understand with rising costs. However, a large number of them also have/introduced a 'hostile' structure that force you into paying through the nose. Case in point was the timesheet software that we used:

* They increased the cost of all price tiers.

* They moved features from lower tiers to higher tiers, forcing you to pay more.

* And this all was leveraged via "per seat" pricing. So a modest increase in price quickly becomes a lot, simply because of the multiplicative nature of per-seat pricing.

This per-seat pricing is especially absurd to us. To run the software it makes little difference whether there are 3 users or 6 users, yet the total cost of those 3 additional users was an additional 500 dollars! This got so out of hand that we decided to build our own timesheet software, which we now happily use. I have always seen software as the promise that you only need to build it once, and can reuse and leverage it many times over to reduce your costs. However, this does NOT seem to be the case anymore.

You see the same in streaming services: limits on the amount of devices you can have in your family, moving features into higher cost tiers, and so on...


Replies

ivanbakeltoday at 11:55 AM

To play devil's advocate a bit: running software isn't free. If you're paying for an online service, the hosting cost to the company does scale per-seat. It's easy to say that the company only paid the cost of development once (and even then, more users = more development demand), but you're not a user of a single unit of developed software.

For streaming services, I think the development-hosting needle swings way towards hosting. Streaming video is the vast majority of their costs and efforts, so scaling prices per-user is the only sensible option. The "software" of those services is bad and interchangeable, and not what anyone wants or is paying for in the first place.

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ShinyLeftPadtoday at 2:02 PM

Microsoft did it with 365 after the introduction of Copilot: https://m.youtube.com/watch?v=eYVPThx7yss

Maybe it's one of the many ways we finance all those datacenters. Sure Netflix doesn't directly own datacenters but the logic works by proxy.

matthiaswhtoday at 11:55 AM

Tell me you use harvest without telling me you use harvest.