Software is Eating Labor
Show Notes
Software has fundamentally changed the way we record, store, and share information. Its next act is to fundamentally change the nature of our economy, capturing trillions of dollars of value in the process.
In this talk from the 2025 a16z LP Summit, a16z General Partner Alex Rampell discusses the history of filing cabinets and databases, how SaaS pricing moved from seats to outcomes, and how AI agents will accelerate the trend of the last 70 years of software progress.
Timecodes:
Introduction
The Scale of the Labor Market vs. SaaS
Capital, Labor, and Automation: A Historical Perspective
The Filing Cabinet Metaphor: Digitizing Work
Case Studies: From Airlines to Accounting
The Limits of Efficiency: Humans Still in the Loop
Rethinking SaaS Pricing Models
The Impact of AI on Labor and Software
Outcome-Based Software: Moving Beyond the Filing Cabinet
Real-World Examples: AI in Action
The Expanding Market: New Opportunities with AI
Conclusion and Takeaways
Podcast Outro and Disclaimers
Resources:
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Please note that the content here is for informational purposes only; should NOT be taken as legal, business, tax, or investment advice or be used to evaluate any investment or security; and is not directed at any investors or potential investors in any a16z fund. a16z and its affiliates may maintain investments in the companies discussed. For more details please see a16z.com/disclosures.
Stay Updated:
Find a16z on X
Find a16z on LinkedIn
Listen to the a16z Show on Spotify
Listen to the a16z Show on Apple Podcasts
Follow our host: https://twitter.com/eriktorenberg
Please note that the content here is for informational purposes only; should NOT be taken as legal, business, tax, or investment advice or be used to evaluate any investment or security; and is not directed at any investors or potential investors in any a16z fund. a16z and its affiliates may maintain investments in the companies discussed. For more details please see a16z.com/disclosures.
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