WEBVTT

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Our

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CEO

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Klemens

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Arro

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shares

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his

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thoughts

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on

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one

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of

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the

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most

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persistent

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questions

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in

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IT

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should

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organizations

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buy

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enterprise

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software

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or

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build

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custom

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solutions

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With

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over

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two

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decades

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of

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experience

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in

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the

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software

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industry

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and

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having

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seen

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both

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approaches

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succeed

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and

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fail

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Klemens

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offers

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a

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fresh

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perspective

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on

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how

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AI

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is

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fundamentally

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changing

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this

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calculation

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Drawing

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from

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real

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client

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experiences

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and

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current

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projects

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this

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post

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cuts

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through

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the

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hype

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to

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deliver

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practical

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insights

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for

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anyone

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facing

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this

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decision

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Whether

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you’re

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a

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CTO

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evaluating

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options

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or

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a

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business

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leader

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trying

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to

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understand

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the

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implications

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of

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AI

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on

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your

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IT

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strategy

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this

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is

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worth

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your

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time

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For

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as

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long

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as

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I’ve

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been

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in

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the

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software

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business

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there’s

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been

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this

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ongoing

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debate

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should

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you

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buy

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enterprise

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software

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or

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build

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your

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own

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It’s

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a

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question

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that

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surfaces

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in

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nearly

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every

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major

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IT

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decision

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and

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I’ve

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found

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myself

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switching

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sides

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more

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times

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than

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I

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care

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to

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admit

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Let

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me

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save

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you

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some

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reading

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time

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and

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give

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you

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the

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answer

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upfront

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it

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depends

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I

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know

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I

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know

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the

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classic

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engineer’s

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response

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But

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stick

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with

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me

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because

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what’s

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happening

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with

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AI

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right

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now

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is

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fundamentally

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changing

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how

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we

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should

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think

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about

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this

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decision

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Why

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This

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Matters

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Now

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This

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question

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has

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come

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up

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again

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in

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several

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projects

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we’re

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currently

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working

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on

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We’re

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helping

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clients

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rebuild

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their

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core

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business

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processes

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finance

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production

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delivery

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customer

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relations

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and

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reimagining

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them

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in

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light

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of

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what

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AI

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can

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do

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today

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These

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aren’t

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just

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any

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processes

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they’re

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the

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heart

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of

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how

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these

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businesses

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operate

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touching

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multiple

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enterprise

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systems

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along

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the

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way

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What’s

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making

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this

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particularly

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interesting

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is

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that

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the

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traditional

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pros

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and

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cons

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of

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each

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approach

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are

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being

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turned

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on

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their

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head

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by

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AI

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capabilities

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The

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Traditional

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Arguments

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Let’s

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be

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honest

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about

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what

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we

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typically

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hear

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The

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case

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against

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enterprise

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software

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usually

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goes

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like

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this

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you

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have

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to

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reshape

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your

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business

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to

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fit

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the

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software

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the

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licensing

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costs

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pile

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up

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year

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after

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year

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the

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interfaces

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look

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like

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they’re

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from

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the

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pre

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MySpace

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era

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and

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getting

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started

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feels

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like

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assembling

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flat

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pack

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furniture

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with

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missing

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instructions

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theoretically

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possible

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but

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you’ll

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lose

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your

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sanity

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in

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the

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process

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On

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the

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flip

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side

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enterprise

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software

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advocates

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point

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out

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that

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it’s

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faster

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to

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implement

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cheaper

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to

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maintain

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designed

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by

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experts

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who’ve

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thought

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through

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every

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edge

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case

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and

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often

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comes

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as

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a

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hosted

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service

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so

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you

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don’t

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have

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to

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worry

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about

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infrastructure

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Custom

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solutions

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promise

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to

00:02:23.349 --> 00:02:23.535
fit

00:02:23.581 --> 00:02:23.686
your

00:02:23.732 --> 00:02:23.976
needs

00:02:24.022 --> 00:02:24.185
like

00:02:24.220 --> 00:02:24.243
a

00:02:24.301 --> 00:02:24.742
glove

00:02:25.241 --> 00:02:25.508
follow

00:02:25.555 --> 00:02:25.671
your

00:02:25.706 --> 00:02:26.077
existing

00:02:26.124 --> 00:02:26.646
processes

00:02:26.716 --> 00:02:27.354
perfectly

00:02:27.772 --> 00:02:27.923
and

00:02:27.993 --> 00:02:28.167
give

00:02:28.190 --> 00:02:28.306
your

00:02:28.376 --> 00:02:28.678
users

00:02:28.748 --> 00:02:29.467
interfaces

00:02:29.514 --> 00:02:29.746
they’ll

00:02:29.804 --> 00:02:30.268
actually

00:02:30.315 --> 00:02:30.617
enjoy

00:02:30.698 --> 00:02:31.058
using

00:02:31.615 --> 00:02:32.010
Plus

00:02:32.498 --> 00:02:32.695
no

00:02:32.788 --> 00:02:33.252
recurring

00:02:33.310 --> 00:02:33.705
license

00:02:33.740 --> 00:02:34.030
fees

00:02:34.123 --> 00:02:34.390
eating

00:02:34.436 --> 00:02:34.576
into

00:02:34.611 --> 00:02:34.715
your

00:02:34.762 --> 00:02:35.063
budget

00:02:35.121 --> 00:02:35.539
forever

00:02:36.352 --> 00:02:36.445
A

00:02:36.561 --> 00:02:36.909
20

00:02:36.956 --> 00:02:37.107
Year

00:02:37.165 --> 00:02:37.594
Reality

00:02:37.652 --> 00:02:37.931
Check

00:02:38.883 --> 00:02:39.220
Here’s

00:02:39.243 --> 00:02:39.371
where

00:02:39.406 --> 00:02:39.452
it

00:02:39.487 --> 00:02:39.638
gets

00:02:39.685 --> 00:02:40.230
interesting

00:02:41.101 --> 00:02:41.252
One

00:02:41.275 --> 00:02:41.322
of

00:02:41.356 --> 00:02:41.438
our

00:02:41.473 --> 00:02:41.856
clients

00:02:41.891 --> 00:02:42.007
has

00:02:42.053 --> 00:02:42.192
this

00:02:42.274 --> 00:02:42.657
ancient

00:02:42.738 --> 00:02:43.086
custom

00:02:43.133 --> 00:02:43.307
built

00:02:43.365 --> 00:02:43.806
CRM

00:02:43.853 --> 00:02:43.969
that

00:02:44.062 --> 00:02:44.503
everyone

00:02:44.538 --> 00:02:44.700
loves

00:02:44.735 --> 00:02:44.793
to

00:02:44.874 --> 00:02:45.234
hate

00:02:45.757 --> 00:02:45.954
It’s

00:02:46.035 --> 00:02:46.326
20

00:02:46.372 --> 00:02:46.558
years

00:02:46.616 --> 00:02:46.883
old

00:02:47.045 --> 00:02:47.150
the

00:02:47.185 --> 00:02:47.568
interface

00:02:47.591 --> 00:02:47.661
is

00:02:47.719 --> 00:02:48.160
painful

00:02:48.613 --> 00:02:48.752
and

00:02:48.810 --> 00:02:48.926
I’ll

00:02:48.961 --> 00:02:49.263
admit

00:02:49.344 --> 00:02:49.530
I’ve

00:02:49.553 --> 00:02:49.820
tried

00:02:49.843 --> 00:02:49.890
to

00:02:49.948 --> 00:02:50.296
replace

00:02:50.343 --> 00:02:50.424
it

00:02:50.494 --> 00:02:50.702
more

00:02:50.737 --> 00:02:51.097
times

00:02:51.132 --> 00:02:51.248
than

00:02:51.295 --> 00:02:51.318
I

00:02:51.376 --> 00:02:51.492
can

00:02:51.550 --> 00:02:51.910
count

00:02:52.665 --> 00:02:52.850
It’s

00:02:52.885 --> 00:02:53.152
become

00:02:53.175 --> 00:02:53.245
the

00:02:53.280 --> 00:02:53.582
poster

00:02:53.616 --> 00:02:53.907
child

00:02:53.953 --> 00:02:54.034
for

00:02:54.081 --> 00:02:54.174
why

00:02:54.232 --> 00:02:54.510
custom

00:02:54.569 --> 00:02:54.882
software

00:02:54.905 --> 00:02:54.963
is

00:02:54.986 --> 00:02:55.010
a

00:02:55.056 --> 00:02:55.242
bad

00:02:55.300 --> 00:02:55.660
idea

00:02:56.113 --> 00:02:56.264
But

00:02:56.287 --> 00:02:56.461
take

00:02:56.484 --> 00:02:56.507
a

00:02:56.542 --> 00:02:56.740
step

00:02:56.798 --> 00:02:57.018
back

00:02:57.076 --> 00:02:57.169
and

00:02:57.227 --> 00:02:57.401
think

00:02:57.448 --> 00:02:57.645
about

00:02:57.692 --> 00:02:57.750
it

00:02:57.784 --> 00:02:58.237
differently

00:02:58.771 --> 00:02:58.957
This

00:02:59.004 --> 00:02:59.143
thing

00:02:59.166 --> 00:02:59.236
has

00:02:59.271 --> 00:02:59.398
been

00:02:59.433 --> 00:02:59.642
running

00:02:59.677 --> 00:02:59.770
for

00:02:59.805 --> 00:02:59.979
two

00:03:00.037 --> 00:03:00.559
decades

00:03:01.244 --> 00:03:01.430
Show

00:03:01.476 --> 00:03:01.534
me

00:03:01.569 --> 00:03:01.616
an

00:03:01.651 --> 00:03:02.092
enterprise

00:03:02.127 --> 00:03:02.568
CRM

00:03:02.614 --> 00:03:02.719
that

00:03:02.754 --> 00:03:03.032
people

00:03:03.079 --> 00:03:03.299
still

00:03:03.357 --> 00:03:03.543
love

00:03:03.589 --> 00:03:03.798
after

00:03:03.880 --> 00:03:04.182
20

00:03:04.228 --> 00:03:04.576
years

00:03:05.110 --> 00:03:05.308
I’ll

00:03:05.354 --> 00:03:05.633
wait

00:03:06.225 --> 00:03:06.341
The

00:03:06.387 --> 00:03:06.620
truth

00:03:06.689 --> 00:03:06.863
is

00:03:07.165 --> 00:03:07.432
nobody

00:03:07.479 --> 00:03:07.653
loves

00:03:07.699 --> 00:03:07.827
any

00:03:07.908 --> 00:03:08.140
20

00:03:08.175 --> 00:03:08.268
year

00:03:08.291 --> 00:03:08.407
old

00:03:08.454 --> 00:03:08.942
software

00:03:09.116 --> 00:03:09.359
whether

00:03:09.394 --> 00:03:09.499
it’s

00:03:09.545 --> 00:03:09.952
custom

00:03:10.033 --> 00:03:10.126
or

00:03:10.184 --> 00:03:10.335
off

00:03:10.381 --> 00:03:10.451
the

00:03:10.486 --> 00:03:10.799
shelf

00:03:11.484 --> 00:03:11.647
More

00:03:11.670 --> 00:03:12.285
importantly

00:03:12.668 --> 00:03:12.901
let’s

00:03:12.947 --> 00:03:13.156
talk

00:03:13.237 --> 00:03:13.516
money

00:03:14.178 --> 00:03:14.398
Take

00:03:14.421 --> 00:03:14.584
those

00:03:14.642 --> 00:03:14.967
20

00:03:15.025 --> 00:03:15.269
years

00:03:15.304 --> 00:03:15.362
of

00:03:15.432 --> 00:03:15.803
license

00:03:15.838 --> 00:03:16.128
fees

00:03:16.175 --> 00:03:16.279
for

00:03:16.314 --> 00:03:16.558
something

00:03:16.593 --> 00:03:16.801
like

00:03:16.918 --> 00:03:17.591
SAP

00:03:17.800 --> 00:03:17.893
or

00:03:17.962 --> 00:03:18.380
Microsoft

00:03:18.415 --> 00:03:18.961
Dynamics

00:03:19.414 --> 00:03:19.913
multiply

00:03:19.983 --> 00:03:20.099
by

00:03:20.180 --> 00:03:20.482
100

00:03:20.575 --> 00:03:20.946
users

00:03:21.422 --> 00:03:21.596
add

00:03:21.631 --> 00:03:21.689
in

00:03:21.724 --> 00:03:21.794
the

00:03:21.840 --> 00:03:22.142
costs

00:03:22.177 --> 00:03:22.235
of

00:03:22.293 --> 00:03:22.874
specialists

00:03:22.920 --> 00:03:22.990
to

00:03:23.071 --> 00:03:23.257
set

00:03:23.315 --> 00:03:23.385
it

00:03:23.443 --> 00:03:23.582
up

00:03:24.000 --> 00:03:24.557
customize

00:03:24.592 --> 00:03:24.720
it

00:03:24.987 --> 00:03:25.126
and

00:03:25.184 --> 00:03:25.614
maintain

00:03:25.672 --> 00:03:25.788
it

00:03:26.090 --> 00:03:26.241
and

00:03:26.287 --> 00:03:26.461
these

00:03:26.520 --> 00:03:26.740
folks

00:03:26.775 --> 00:03:26.949
don’t

00:03:26.984 --> 00:03:27.146
come

00:03:27.193 --> 00:03:27.518
cheap

00:03:27.924 --> 00:03:28.075
and

00:03:28.157 --> 00:03:28.540
suddenly

00:03:28.598 --> 00:03:28.725
that

00:03:28.795 --> 00:03:29.178
custom

00:03:29.236 --> 00:03:29.619
solution

00:03:29.677 --> 00:03:29.910
doesn’t

00:03:29.944 --> 00:03:30.107
look

00:03:30.165 --> 00:03:30.281
so

00:03:30.362 --> 00:03:30.629
bad

00:03:30.676 --> 00:03:30.746
and

00:03:30.804 --> 00:03:31.175
scary

00:03:31.233 --> 00:03:31.500
after

00:03:31.570 --> 00:03:31.744
all

00:03:32.522 --> 00:03:32.731
How

00:03:32.824 --> 00:03:33.230
AI

00:03:33.300 --> 00:03:33.393
is

00:03:33.451 --> 00:03:33.857
Changing

00:03:33.903 --> 00:03:33.973
the

00:03:34.031 --> 00:03:34.565
Equation

00:03:35.262 --> 00:03:35.448
This

00:03:35.506 --> 00:03:35.587
is

00:03:35.622 --> 00:03:35.773
where

00:03:35.808 --> 00:03:36.028
things

00:03:36.075 --> 00:03:36.214
get

00:03:36.342 --> 00:03:36.701
really

00:03:36.748 --> 00:03:37.282
interesting

00:03:37.781 --> 00:03:37.897
The

00:03:37.967 --> 00:03:38.246
rapid

00:03:38.280 --> 00:03:38.803
advancement

00:03:38.838 --> 00:03:38.908
in

00:03:38.977 --> 00:03:39.221
AI

00:03:39.291 --> 00:03:39.604
coding

00:03:39.639 --> 00:03:40.371
capabilities

00:03:40.429 --> 00:03:40.510
is

00:03:40.568 --> 00:03:40.998
starting

00:03:41.044 --> 00:03:41.102
to

00:03:41.160 --> 00:03:41.369
shift

00:03:41.392 --> 00:03:41.462
the

00:03:41.508 --> 00:03:41.996
balance

00:03:42.217 --> 00:03:42.356
and

00:03:42.414 --> 00:03:42.542
not

00:03:42.588 --> 00:03:42.658
in

00:03:42.693 --> 00:03:42.762
the

00:03:42.809 --> 00:03:42.936
way

00:03:43.006 --> 00:03:43.180
most

00:03:43.215 --> 00:03:43.482
people

00:03:43.517 --> 00:03:43.796
think

00:03:44.573 --> 00:03:44.713
Let

00:03:44.748 --> 00:03:44.817
me

00:03:44.864 --> 00:03:44.957
be

00:03:45.015 --> 00:03:45.363
clear

00:03:45.862 --> 00:03:45.978
the

00:03:46.060 --> 00:03:46.652
internet

00:03:46.768 --> 00:03:46.930
is

00:03:47.081 --> 00:03:47.383
full

00:03:47.464 --> 00:03:47.534
of

00:03:47.615 --> 00:03:47.859
noise

00:03:47.894 --> 00:03:48.115
about

00:03:48.173 --> 00:03:48.451
AI

00:03:48.532 --> 00:03:48.974
coding

00:03:49.635 --> 00:03:49.786
On

00:03:49.868 --> 00:03:50.030
one

00:03:50.088 --> 00:03:50.483
side

00:03:50.738 --> 00:03:50.820
you

00:03:50.854 --> 00:03:50.959
have

00:03:50.982 --> 00:03:51.621
influencers

00:03:51.679 --> 00:03:52.097
declaring

00:03:52.120 --> 00:03:52.224
that

00:03:52.283 --> 00:03:52.689
everyone

00:03:52.724 --> 00:03:52.805
on

00:03:52.875 --> 00:03:53.130
earth

00:03:53.188 --> 00:03:53.339
will

00:03:53.397 --> 00:03:53.583
lose

00:03:53.606 --> 00:03:53.745
their

00:03:53.792 --> 00:03:54.152
jobs

00:03:54.396 --> 00:03:54.570
and

00:03:54.628 --> 00:03:54.825
need

00:03:54.895 --> 00:03:55.301
UBI

00:03:55.476 --> 00:03:55.743
every

00:03:55.801 --> 00:03:56.044
time

00:03:56.091 --> 00:03:56.358
someone

00:03:56.393 --> 00:03:56.927
successfully

00:03:56.973 --> 00:03:57.380
generates

00:03:57.414 --> 00:03:57.438
a

00:03:57.496 --> 00:03:57.554
to

00:03:57.612 --> 00:03:57.739
do

00:03:57.809 --> 00:03:57.983
app

00:03:58.761 --> 00:03:58.900
On

00:03:58.924 --> 00:03:58.993
the

00:03:59.051 --> 00:03:59.295
other

00:03:59.411 --> 00:03:59.504
you

00:03:59.562 --> 00:03:59.690
have

00:03:59.725 --> 00:04:00.015
people

00:04:00.073 --> 00:04:00.561
gleefully

00:04:00.607 --> 00:04:00.921
sharing

00:04:00.967 --> 00:04:01.199
AI

00:04:01.315 --> 00:04:01.745
failures

00:04:01.791 --> 00:04:01.884
as

00:04:01.954 --> 00:04:02.174
proof

00:04:02.233 --> 00:04:02.349
it’s

00:04:02.383 --> 00:04:02.500
all

00:04:02.558 --> 00:04:02.906
hype

00:04:03.626 --> 00:04:03.742
The

00:04:03.800 --> 00:04:04.334
reality

00:04:04.485 --> 00:04:04.647
as

00:04:04.729 --> 00:04:05.065
usual

00:04:05.425 --> 00:04:05.681
sits

00:04:05.704 --> 00:04:05.994
somewhere

00:04:06.029 --> 00:04:06.075
in

00:04:06.110 --> 00:04:06.180
the

00:04:06.203 --> 00:04:06.563
middle

00:04:07.086 --> 00:04:07.318
There’s

00:04:07.341 --> 00:04:07.364
a

00:04:07.422 --> 00:04:07.701
huge

00:04:07.736 --> 00:04:08.107
difference

00:04:08.142 --> 00:04:08.397
between

00:04:08.432 --> 00:04:08.548
what

00:04:08.595 --> 00:04:08.653
is

00:04:08.700 --> 00:04:08.920
called

00:04:09.013 --> 00:04:09.396
vibe

00:04:09.443 --> 00:04:09.861
coding

00:04:10.360 --> 00:04:10.650
throwing

00:04:10.708 --> 00:04:11.022
prompts

00:04:11.056 --> 00:04:11.138
at

00:04:11.184 --> 00:04:11.254
an

00:04:11.324 --> 00:04:11.718
AI

00:04:11.776 --> 00:04:11.858
and

00:04:11.916 --> 00:04:12.159
hoping

00:04:12.194 --> 00:04:12.276
for

00:04:12.334 --> 00:04:12.647
magic

00:04:13.030 --> 00:04:13.170
and

00:04:13.228 --> 00:04:13.611
actually

00:04:13.669 --> 00:04:14.040
coding

00:04:14.087 --> 00:04:14.214
with

00:04:14.272 --> 00:04:14.748
AI

00:04:15.596 --> 00:04:15.712
The

00:04:15.782 --> 00:04:16.095
first

00:04:16.153 --> 00:04:16.235
is

00:04:16.351 --> 00:04:16.827
wild

00:04:16.873 --> 00:04:16.943
and

00:04:16.989 --> 00:04:17.605
exciting

00:04:17.686 --> 00:04:17.860
but

00:04:18.301 --> 00:04:18.487
not

00:04:18.557 --> 00:04:18.777
really

00:04:18.835 --> 00:04:19.346
reliable

00:04:19.381 --> 00:04:19.462
as

00:04:19.509 --> 00:04:19.578
of

00:04:19.636 --> 00:04:20.043
today

00:04:20.658 --> 00:04:20.774
The

00:04:20.832 --> 00:04:21.134
second

00:04:21.192 --> 00:04:21.262
is

00:04:21.331 --> 00:04:21.749
boring

00:04:21.877 --> 00:04:22.446
technical

00:04:22.516 --> 00:04:22.620
and

00:04:22.678 --> 00:04:23.154
routine

00:04:23.572 --> 00:04:23.735
but

00:04:23.781 --> 00:04:23.839
it

00:04:23.885 --> 00:04:24.327
works

00:04:25.197 --> 00:04:25.395
What

00:04:25.453 --> 00:04:25.766
AI

00:04:25.836 --> 00:04:25.952
Can

00:04:25.998 --> 00:04:26.347
Actually

00:04:26.405 --> 00:04:26.556
Do

00:04:26.625 --> 00:04:27.032
Today

00:04:27.090 --> 00:04:27.275
No

00:04:27.833 --> 00:04:28.146
AI

00:04:28.227 --> 00:04:28.460
can’t

00:04:28.506 --> 00:04:28.750
build

00:04:28.808 --> 00:04:29.249
complete

00:04:29.296 --> 00:04:29.725
enterprise

00:04:29.748 --> 00:04:30.178
software

00:04:30.201 --> 00:04:30.329
from

00:04:30.375 --> 00:04:30.398
a

00:04:30.445 --> 00:04:30.735
single

00:04:30.770 --> 00:04:31.130
prompt

00:04:31.641 --> 00:04:31.803
But

00:04:31.861 --> 00:04:32.105
saying

00:04:32.152 --> 00:04:32.511
AI

00:04:32.628 --> 00:04:32.883
can’t

00:04:32.918 --> 00:04:33.104
build

00:04:33.162 --> 00:04:33.568
software

00:04:33.603 --> 00:04:33.672
at

00:04:33.719 --> 00:04:33.928
all

00:04:34.265 --> 00:04:34.508
That’s

00:04:34.555 --> 00:04:34.729
just

00:04:34.764 --> 00:04:35.089
wrong

00:04:35.704 --> 00:04:35.960
usually

00:04:36.006 --> 00:04:36.227
coming

00:04:36.261 --> 00:04:36.378
from

00:04:36.424 --> 00:04:36.668
people

00:04:36.691 --> 00:04:36.772
who

00:04:36.819 --> 00:04:37.016
haven’t

00:04:37.039 --> 00:04:37.272
taken

00:04:37.306 --> 00:04:37.376
the

00:04:37.411 --> 00:04:37.620
time

00:04:37.655 --> 00:04:37.713
to

00:04:37.771 --> 00:04:37.968
learn

00:04:38.015 --> 00:04:38.096
how

00:04:38.142 --> 00:04:38.200
to

00:04:38.282 --> 00:04:38.444
use

00:04:38.479 --> 00:04:38.537
it

00:04:38.572 --> 00:04:38.978
properly

00:04:39.826 --> 00:04:40.011
We’re

00:04:40.034 --> 00:04:40.313
building

00:04:40.360 --> 00:04:40.754
production

00:04:40.812 --> 00:04:41.300
software

00:04:41.323 --> 00:04:41.451
with

00:04:41.509 --> 00:04:41.706
AI

00:04:41.753 --> 00:04:42.252
assistance

00:04:42.310 --> 00:04:42.565
every

00:04:42.623 --> 00:04:42.902
day

00:04:43.552 --> 00:04:43.668
It

00:04:43.715 --> 00:04:44.086
requires

00:04:44.156 --> 00:04:44.818
frameworks

00:04:44.899 --> 00:04:45.572
guardrails

00:04:45.619 --> 00:04:45.712
and

00:04:45.781 --> 00:04:46.083
skill

00:04:46.141 --> 00:04:46.199
to

00:04:46.257 --> 00:04:46.594
operate

00:04:46.617 --> 00:04:47.198
effectively

00:04:47.755 --> 00:04:47.883
but

00:04:47.918 --> 00:04:48.010
it’s

00:04:48.045 --> 00:04:48.278
getting

00:04:48.336 --> 00:04:48.754
easier

00:04:48.835 --> 00:04:49.009
and

00:04:49.067 --> 00:04:49.218
more

00:04:49.253 --> 00:04:49.775
reliable

00:04:49.822 --> 00:04:49.915
at

00:04:49.961 --> 00:04:49.984
a

00:04:50.077 --> 00:04:50.460
stunning

00:04:50.518 --> 00:04:50.971
pace

00:04:51.830 --> 00:04:51.993
What

00:04:52.028 --> 00:04:52.155
this

00:04:52.225 --> 00:04:52.573
means

00:04:52.631 --> 00:04:52.736
for

00:04:52.759 --> 00:04:52.829
the

00:04:52.863 --> 00:04:53.061
build

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vs

00:04:53.305 --> 00:04:53.467
buy

00:04:53.525 --> 00:04:53.955
decision

00:04:54.164 --> 00:04:54.315
is

00:04:54.373 --> 00:04:55.035
profound

00:04:55.592 --> 00:04:55.708
The

00:04:55.778 --> 00:04:56.056
cost

00:04:56.103 --> 00:04:56.161
of

00:04:56.219 --> 00:04:56.544
custom

00:04:56.602 --> 00:04:57.066
development

00:04:57.124 --> 00:04:57.206
is

00:04:57.241 --> 00:04:57.600
starting

00:04:57.635 --> 00:04:57.682
to

00:04:57.740 --> 00:04:58.007
drop

00:04:58.529 --> 00:04:58.715
not

00:04:58.761 --> 00:04:59.272
overnight

00:04:59.342 --> 00:04:59.493
but

00:04:59.609 --> 00:05:00.189
steadily

00:05:00.515 --> 00:05:00.677
as

00:05:00.747 --> 00:05:01.014
AI

00:05:01.095 --> 00:05:01.792
capabilities

00:05:01.826 --> 00:05:02.268
improve

00:05:02.314 --> 00:05:02.407
and

00:05:02.488 --> 00:05:03.347
organizations

00:05:03.417 --> 00:05:03.591
learn

00:05:03.638 --> 00:05:03.696
to

00:05:03.754 --> 00:05:04.114
leverage

00:05:04.148 --> 00:05:04.265
them

00:05:04.311 --> 00:05:04.648
better

00:05:05.333 --> 00:05:05.507
This

00:05:05.565 --> 00:05:05.646
is

00:05:05.693 --> 00:05:05.936
also

00:05:05.994 --> 00:05:06.134
why

00:05:06.192 --> 00:05:06.320
I’m

00:05:06.354 --> 00:05:06.784
predicting

00:05:06.830 --> 00:05:06.946
that

00:05:06.993 --> 00:05:07.353
demand

00:05:07.399 --> 00:05:07.492
for

00:05:07.539 --> 00:05:07.875
software

00:05:07.898 --> 00:05:08.340
development

00:05:08.409 --> 00:05:08.943
overall

00:05:09.268 --> 00:05:09.466
will

00:05:09.535 --> 00:05:09.942
actually

00:05:10.000 --> 00:05:10.290
grow

00:05:11.196 --> 00:05:11.335
It

00:05:11.393 --> 00:05:11.579
might

00:05:11.625 --> 00:05:11.846
sound

00:05:11.916 --> 00:05:12.914
counterintuitive

00:05:13.181 --> 00:05:13.332
but

00:05:13.378 --> 00:05:13.448
as

00:05:13.529 --> 00:05:14.075
software

00:05:14.110 --> 00:05:14.423
becomes

00:05:14.470 --> 00:05:14.806
cheaper

00:05:14.841 --> 00:05:14.923
and

00:05:14.992 --> 00:05:15.364
faster

00:05:15.422 --> 00:05:15.480
to

00:05:15.538 --> 00:05:15.875
build

00:05:16.351 --> 00:05:16.606
more

00:05:16.652 --> 00:05:17.442
organizations

00:05:17.488 --> 00:05:17.651
will

00:05:17.697 --> 00:05:17.883
want

00:05:17.953 --> 00:05:18.173
more

00:05:18.220 --> 00:05:18.278
of

00:05:18.336 --> 00:05:18.498
it

00:05:19.369 --> 00:05:19.497
The

00:05:19.555 --> 00:05:20.066
workload

00:05:20.101 --> 00:05:20.193
for

00:05:20.240 --> 00:05:20.611
software

00:05:20.646 --> 00:05:21.169
agencies

00:05:21.215 --> 00:05:21.366
will

00:05:21.401 --> 00:05:22.051
increase

00:05:22.399 --> 00:05:22.585
not

00:05:22.643 --> 00:05:23.305
decrease

00:05:24.036 --> 00:05:24.199
How

00:05:24.269 --> 00:05:24.768
software

00:05:24.803 --> 00:05:24.884
is

00:05:24.954 --> 00:05:25.302
made

00:05:25.337 --> 00:05:25.476
will

00:05:25.522 --> 00:05:25.894
evolve

00:05:25.940 --> 00:05:26.010
in

00:05:26.103 --> 00:05:26.590
multiple

00:05:26.614 --> 00:05:26.939
steps

00:05:26.985 --> 00:05:27.148
over

00:05:27.194 --> 00:05:27.670
time

00:05:27.960 --> 00:05:28.100
but

00:05:28.123 --> 00:05:28.262
there

00:05:28.286 --> 00:05:28.436
will

00:05:28.483 --> 00:05:28.553
be

00:05:28.622 --> 00:05:28.854
more

00:05:28.889 --> 00:05:29.214
demand

00:05:29.261 --> 00:05:29.354
for

00:05:29.400 --> 00:05:29.981
software

00:05:30.178 --> 00:05:30.375
not

00:05:30.433 --> 00:05:30.735
less

00:05:31.792 --> 00:05:31.919
The

00:05:32.001 --> 00:05:32.152
New

00:05:32.221 --> 00:05:32.837
Calculus

00:05:33.649 --> 00:05:33.905
Here’s

00:05:33.928 --> 00:05:34.114
what’s

00:05:34.149 --> 00:05:34.509
changing

00:05:34.567 --> 00:05:34.636
the

00:05:34.683 --> 00:05:35.182
equation

00:05:35.658 --> 00:05:35.890
Lower

00:05:35.925 --> 00:05:36.366
Development

00:05:36.413 --> 00:05:36.877
Costs

00:05:37.295 --> 00:05:37.678
AI

00:05:37.748 --> 00:05:37.829
is

00:05:37.887 --> 00:05:38.131
making

00:05:38.200 --> 00:05:38.584
custom

00:05:38.642 --> 00:05:39.094
development

00:05:39.152 --> 00:05:39.547
faster

00:05:39.594 --> 00:05:39.663
and

00:05:39.710 --> 00:05:40.058
cheaper

00:05:40.534 --> 00:05:40.697
Not

00:05:40.743 --> 00:05:40.987
vibe

00:05:41.010 --> 00:05:41.300
coding

00:05:41.347 --> 00:05:41.625
cheap

00:05:41.707 --> 00:05:41.892
but

00:05:41.973 --> 00:05:42.774
significantly

00:05:42.832 --> 00:05:42.995
more

00:05:43.030 --> 00:05:43.599
affordable

00:05:43.657 --> 00:05:43.819
than

00:05:43.866 --> 00:05:44.295
traditional

00:05:44.342 --> 00:05:44.853
development

00:05:45.955 --> 00:05:46.269
Easier

00:05:46.304 --> 00:05:46.954
Maintenance

00:05:47.314 --> 00:05:47.465
One

00:05:47.500 --> 00:05:47.546
of

00:05:47.581 --> 00:05:47.651
the

00:05:47.709 --> 00:05:48.173
traditional

00:05:48.208 --> 00:05:48.591
problems

00:05:48.626 --> 00:05:48.742
with

00:05:48.777 --> 00:05:49.067
custom

00:05:49.113 --> 00:05:49.740
software

00:05:50.065 --> 00:05:50.216
is

00:05:50.240 --> 00:05:50.332
that

00:05:50.367 --> 00:05:50.414
it

00:05:50.449 --> 00:05:50.739
becomes

00:05:50.797 --> 00:05:51.064
harder

00:05:51.099 --> 00:05:51.145
to

00:05:51.192 --> 00:05:51.528
maintain

00:05:51.575 --> 00:05:51.726
over

00:05:51.772 --> 00:05:52.132
time

00:05:52.562 --> 00:05:52.654
the

00:05:52.689 --> 00:05:53.003
original

00:05:53.038 --> 00:05:53.467
developers

00:05:53.525 --> 00:05:53.862
leave

00:05:53.943 --> 00:05:54.547
documentation

00:05:54.582 --> 00:05:54.744
gets

00:05:54.779 --> 00:05:55.313
outdated

00:05:55.673 --> 00:05:55.813
and

00:05:55.882 --> 00:05:56.184
nobody

00:05:56.219 --> 00:05:56.393
wants

00:05:56.440 --> 00:05:56.498
to

00:05:56.556 --> 00:05:56.811
touch

00:05:56.869 --> 00:05:56.939
the

00:05:56.997 --> 00:05:57.369
legacy

00:05:57.415 --> 00:05:57.856
code

00:05:58.460 --> 00:05:58.820
AI

00:05:58.889 --> 00:05:58.971
is

00:05:59.029 --> 00:05:59.412
changing

00:05:59.458 --> 00:05:59.644
this

00:05:59.725 --> 00:05:59.841
by

00:05:59.911 --> 00:06:00.167
making

00:06:00.213 --> 00:06:00.259
it

00:06:00.306 --> 00:06:00.492
much

00:06:00.538 --> 00:06:00.828
easier

00:06:00.863 --> 00:06:00.956
for

00:06:01.002 --> 00:06:01.107
new

00:06:01.153 --> 00:06:01.629
developers

00:06:01.664 --> 00:06:01.711
to

00:06:01.769 --> 00:06:02.326
understand

00:06:02.396 --> 00:06:02.489
and

00:06:02.547 --> 00:06:02.779
work

00:06:02.825 --> 00:06:02.941
with

00:06:02.988 --> 00:06:03.371
existing

00:06:03.429 --> 00:06:04.091
codebases

00:06:04.706 --> 00:06:04.834
The

00:06:04.892 --> 00:06:05.252
code

00:06:05.287 --> 00:06:05.646
becomes

00:06:05.716 --> 00:06:05.879
less

00:06:05.925 --> 00:06:06.459
dependent

00:06:06.517 --> 00:06:06.598
on

00:06:06.657 --> 00:06:07.121
specific

00:06:07.179 --> 00:06:07.481
people

00:06:07.516 --> 00:06:07.748
knowing

00:06:07.794 --> 00:06:07.887
how

00:06:07.945 --> 00:06:08.015
it

00:06:08.061 --> 00:06:08.491
works

00:06:09.338 --> 00:06:09.884
Adaptive

00:06:09.907 --> 00:06:10.569
Software

00:06:10.987 --> 00:06:11.219
Here’s

00:06:11.254 --> 00:06:11.324
the

00:06:11.370 --> 00:06:11.567
really

00:06:11.602 --> 00:06:11.974
exciting

00:06:12.032 --> 00:06:12.322
part

00:06:12.717 --> 00:06:12.833
we

00:06:12.868 --> 00:06:12.984
can

00:06:13.054 --> 00:06:13.309
build

00:06:13.367 --> 00:06:13.611
AI

00:06:13.680 --> 00:06:14.377
capabilities

00:06:14.424 --> 00:06:14.946
directly

00:06:15.027 --> 00:06:15.236
into

00:06:15.317 --> 00:06:15.677
custom

00:06:15.747 --> 00:06:16.444
software

00:06:16.571 --> 00:06:16.746
that

00:06:16.792 --> 00:06:17.140
allows

00:06:17.222 --> 00:06:17.396
non

00:06:17.465 --> 00:06:17.848
technical

00:06:17.907 --> 00:06:18.139
people

00:06:18.174 --> 00:06:18.220
in

00:06:18.266 --> 00:06:18.359
your

00:06:18.394 --> 00:06:19.091
organization

00:06:19.160 --> 00:06:19.218
to

00:06:19.265 --> 00:06:19.427
make

00:06:19.485 --> 00:06:19.892
smaller

00:06:19.938 --> 00:06:20.345
changes

00:06:20.379 --> 00:06:20.472
and

00:06:20.519 --> 00:06:21.111
adaptations

00:06:21.146 --> 00:06:21.691
themselves

00:06:22.330 --> 00:06:22.481
No

00:06:22.550 --> 00:06:22.690
more

00:06:22.725 --> 00:06:23.038
waiting

00:06:23.085 --> 00:06:23.166
for

00:06:23.212 --> 00:06:23.688
expensive

00:06:23.711 --> 00:06:24.280
specialists

00:06:24.304 --> 00:06:24.362
to

00:06:24.420 --> 00:06:24.582
map

00:06:24.640 --> 00:06:24.779
out

00:06:24.872 --> 00:06:25.186
every

00:06:25.232 --> 00:06:25.430
little

00:06:25.464 --> 00:06:25.836
process

00:06:25.882 --> 00:06:26.335
change

00:06:26.370 --> 00:06:26.486
and

00:06:26.521 --> 00:06:26.649
then

00:06:26.718 --> 00:06:27.020
code

00:06:27.055 --> 00:06:27.206
it

00:06:27.856 --> 00:06:28.042
Your

00:06:28.088 --> 00:06:28.402
team

00:06:28.483 --> 00:06:28.611
can

00:06:28.657 --> 00:06:28.971
adjust

00:06:29.017 --> 00:06:29.087
the

00:06:29.133 --> 00:06:29.690
software

00:06:29.725 --> 00:06:29.783
as

00:06:29.830 --> 00:06:29.946
your

00:06:29.992 --> 00:06:30.341
business

00:06:30.387 --> 00:06:30.933
evolves

00:06:31.455 --> 00:06:31.722
all

00:06:31.780 --> 00:06:32.036
within

00:06:32.117 --> 00:06:32.372
safe

00:06:32.407 --> 00:06:33.139
guardrails

00:06:33.522 --> 00:06:33.696
that

00:06:33.731 --> 00:06:34.160
prevent

00:06:34.230 --> 00:06:34.648
anything

00:06:34.706 --> 00:06:34.845
from

00:06:34.903 --> 00:06:35.356
breaking

00:06:36.297 --> 00:06:36.738
Looking

00:06:36.889 --> 00:06:37.434
Forward

00:06:38.247 --> 00:06:38.410
I’m

00:06:38.456 --> 00:06:38.584
not

00:06:38.653 --> 00:06:39.060
saying

00:06:39.083 --> 00:06:39.536
enterprise

00:06:39.559 --> 00:06:39.930
software

00:06:39.954 --> 00:06:40.023
is

00:06:40.070 --> 00:06:40.348
dead

00:06:40.790 --> 00:06:40.987
far

00:06:41.057 --> 00:06:41.219
from

00:06:41.289 --> 00:06:41.440
it

00:06:41.997 --> 00:06:42.148
As

00:06:42.194 --> 00:06:42.334
long

00:06:42.357 --> 00:06:42.403
as

00:06:42.427 --> 00:06:42.554
there

00:06:42.578 --> 00:06:42.647
are

00:06:42.682 --> 00:06:43.344
enterprises

00:06:43.390 --> 00:06:43.518
there

00:06:43.541 --> 00:06:43.657
will

00:06:43.704 --> 00:06:43.762
be

00:06:43.797 --> 00:06:44.191
enterprise

00:06:44.215 --> 00:06:44.784
software

00:06:45.178 --> 00:06:45.318
And

00:06:45.364 --> 00:06:45.387
I

00:06:45.457 --> 00:06:45.840
expect

00:06:45.921 --> 00:06:46.374
enterprise

00:06:46.421 --> 00:06:46.769
vendors

00:06:46.804 --> 00:06:46.931
will

00:06:46.966 --> 00:06:47.198
start

00:06:47.256 --> 00:06:47.616
building

00:06:47.686 --> 00:06:47.930
AI

00:06:47.999 --> 00:06:48.731
capabilities

00:06:48.777 --> 00:06:48.928
into

00:06:48.975 --> 00:06:49.102
their

00:06:49.137 --> 00:06:49.613
products

00:06:50.113 --> 00:06:50.681
potentially

00:06:50.716 --> 00:06:51.065
allowing

00:06:51.111 --> 00:06:51.239
them

00:06:51.285 --> 00:06:51.343
to

00:06:51.413 --> 00:06:51.773
adapt

00:06:51.842 --> 00:06:51.912
to

00:06:51.970 --> 00:06:52.086
your

00:06:52.121 --> 00:06:52.783
organization

00:06:52.841 --> 00:06:52.910
in

00:06:52.969 --> 00:06:53.166
real

00:06:53.224 --> 00:06:53.665
time

00:06:54.594 --> 00:06:54.756
But

00:06:54.791 --> 00:06:54.896
for

00:06:54.954 --> 00:06:55.198
now

00:06:55.581 --> 00:06:55.685
the

00:06:55.731 --> 00:06:56.161
pendulum

00:06:56.207 --> 00:06:56.265
is

00:06:56.324 --> 00:06:56.707
swinging

00:06:56.776 --> 00:06:57.020
toward

00:06:57.067 --> 00:06:57.403
custom

00:06:57.473 --> 00:06:58.053
solutions

00:06:58.448 --> 00:06:58.866
especially

00:06:58.901 --> 00:06:58.982
for

00:06:59.029 --> 00:06:59.783
organizations

00:06:59.818 --> 00:06:59.946
with

00:06:59.981 --> 00:07:00.515
specific

00:07:00.584 --> 00:07:00.886
needs

00:07:00.933 --> 00:07:01.002
or

00:07:01.072 --> 00:07:01.316
unique

00:07:01.339 --> 00:07:01.954
processes

00:07:02.825 --> 00:07:02.941
The

00:07:02.976 --> 00:07:03.452
combination

00:07:03.487 --> 00:07:03.545
of

00:07:03.603 --> 00:07:03.800
lower

00:07:03.847 --> 00:07:04.253
costs

00:07:04.311 --> 00:07:04.543
better

00:07:04.590 --> 00:07:04.996
tools

00:07:05.344 --> 00:07:05.495
and

00:07:05.577 --> 00:07:05.890
AI

00:07:05.948 --> 00:07:06.505
assistance

00:07:06.540 --> 00:07:06.633
is

00:07:06.691 --> 00:07:06.958
making

00:07:07.028 --> 00:07:07.376
custom

00:07:07.446 --> 00:07:07.957
development

00:07:08.235 --> 00:07:08.317
a

00:07:08.398 --> 00:07:08.572
more

00:07:08.607 --> 00:07:09.153
attractive

00:07:09.187 --> 00:07:09.571
option

00:07:09.780 --> 00:07:09.954
than

00:07:10.000 --> 00:07:10.105
it’s

00:07:10.139 --> 00:07:10.302
been

00:07:10.349 --> 00:07:10.407
in

00:07:10.476 --> 00:07:10.906
years

00:07:11.812 --> 00:07:11.939
The

00:07:12.009 --> 00:07:12.334
Bottom

00:07:12.404 --> 00:07:12.996
Line

00:07:13.274 --> 00:07:13.425
The

00:07:13.541 --> 00:07:13.820
build

00:07:13.878 --> 00:07:14.087
vs

00:07:14.157 --> 00:07:14.308
buy

00:07:14.377 --> 00:07:14.807
decision

00:07:14.900 --> 00:07:15.120
still

00:07:15.178 --> 00:07:15.515
depends

00:07:15.562 --> 00:07:15.631
on

00:07:15.666 --> 00:07:15.771
your

00:07:15.817 --> 00:07:16.305
specific

00:07:16.363 --> 00:07:16.966
situation

00:07:17.582 --> 00:07:17.733
But

00:07:17.791 --> 00:07:18.209
AI

00:07:18.278 --> 00:07:18.371
is

00:07:18.429 --> 00:07:18.847
changing

00:07:18.894 --> 00:07:18.963
the

00:07:19.010 --> 00:07:19.486
variables

00:07:19.521 --> 00:07:19.579
in

00:07:19.613 --> 00:07:19.718
that

00:07:19.753 --> 00:07:20.101
equation

00:07:20.136 --> 00:07:20.763
dramatically

00:07:21.297 --> 00:07:21.645
Custom

00:07:21.703 --> 00:07:22.191
solutions

00:07:22.226 --> 00:07:22.307
are

00:07:22.330 --> 00:07:22.620
becoming

00:07:22.690 --> 00:07:23.073
faster

00:07:23.120 --> 00:07:23.178
to

00:07:23.247 --> 00:07:23.596
build

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cheaper

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to

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maintain

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and

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easier

00:07:25.685 --> 00:07:25.732
to

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evolve

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My

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advice

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Don’t

00:07:28.216 --> 00:07:28.553
dismiss

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custom

00:07:29.017 --> 00:07:29.447
development

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based

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on

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yesterday’s

00:07:30.364 --> 00:07:30.945
assumptions

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The

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world

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has

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changed

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and

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it’s

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changing

00:07:33.174 --> 00:07:33.626
fast

00:07:34.161 --> 00:07:34.416
Whether

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you’re

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buying

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from

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a

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specialized

00:07:35.705 --> 00:07:36.099
agency

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or

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building

00:07:36.587 --> 00:07:36.657
in

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house

00:07:37.469 --> 00:07:37.887
AI

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is

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making

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custom

00:07:38.804 --> 00:07:39.304
software

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a

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viable

00:07:39.803 --> 00:07:40.093
option

00:07:40.151 --> 00:07:40.256
for

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more

00:07:40.523 --> 00:07:41.289
organizations

00:07:41.324 --> 00:07:41.451
than

00:07:41.544 --> 00:07:41.777
ever

00:07:41.835 --> 00:07:42.392
before

00:07:42.752 --> 00:07:42.879
The

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future

00:07:43.309 --> 00:07:43.367
is

00:07:43.414 --> 00:07:43.739
becoming

00:07:43.797 --> 00:07:44.226
truly

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exciting

00:07:44.749 --> 00:07:44.842
for

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everyone

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both

00:07:46.037 --> 00:07:46.235
those

00:07:46.270 --> 00:07:46.560
building

00:07:46.618 --> 00:07:47.117
software

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and

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those

00:07:47.640 --> 00:07:47.872
using

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it

00:07:48.580 --> 00:07:48.719
And

00:07:48.766 --> 00:07:48.893
that

00:07:49.010 --> 00:07:49.277
20

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year

00:07:49.462 --> 00:07:49.590
old

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CRM

00:07:50.205 --> 00:07:50.589
everyone

00:07:50.635 --> 00:07:50.960
hates

00:07:51.808 --> 00:07:52.063
Maybe

00:07:52.098 --> 00:07:52.202
its

00:07:52.237 --> 00:07:52.760
replacement

00:07:52.794 --> 00:07:52.934
will

00:07:52.980 --> 00:07:53.050
be

00:07:53.085 --> 00:07:53.410
custom

00:07:53.456 --> 00:07:53.654
built

00:07:53.712 --> 00:07:53.955
after

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all

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just

00:07:54.919 --> 00:07:55.035
with

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a

00:07:55.140 --> 00:07:55.360
little

00:07:55.395 --> 00:07:55.569
help

00:07:55.615 --> 00:07:55.743
from

00:07:55.790 --> 00:07:55.871
our

00:07:55.917 --> 00:07:56.161
AI

00:07:56.231 --> 00:07:56.660
friends

00:07:57.218 --> 00:07:57.647
Klemens

00:07:57.717 --> 00:07:58.448
ArroCEO

00:07:59.400 --> 00:07:59.609
This

00:07:59.679 --> 00:07:59.992
post

00:08:00.050 --> 00:08:00.167
was

00:08:00.225 --> 00:08:00.619
originally

00:08:00.677 --> 00:08:01.084
published

00:08:01.130 --> 00:08:01.211
on

00:08:01.269 --> 00:08:01.792
Klemens’s

00:08:01.850 --> 00:08:02.221
personal

00:08:02.280 --> 00:08:02.570
blog

00:08:03.348 --> 00:08:04.160
https

00:08:05.205 --> 00:08:05.670
klemens

00:08:05.716 --> 00:08:06.273
ee

00:08:06.424 --> 00:08:07.411
2025

00:08:07.690 --> 00:08:08.294
07

00:08:08.955 --> 00:08:09.582
enterprise

00:08:09.617 --> 00:08:10.151
software

00:08:10.209 --> 00:08:10.348
or

00:08:10.430 --> 00:08:10.778
building

00:08:10.836 --> 00:08:10.952
your

00:08:11.010 --> 00:08:11.196
own

