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The enterprise software market is almost always a paid one. However, how do you establish the price for a brand new enterprise software innovation no one has ever used before?

Businesses and consumers love the flexibility of SaaS. However, this flexibility brings a “dark” side: less predictability – and ultimately – less control. Four SaaS pricing models address this challenge, in different ways – and for very different markets.

Pricing software has always been an interesting exercise. The marginal cost to copy and provide software is virtually zero. However, the cost to develop it—and the value of the intellectual property that goes into its creation—is far greater. These two tensions have created a range of models that vendors use to price software. This post evaluates several of these, highlighting ideal (and non-ideal) markets for each.

In 2000, AOL’s Chief Technology Officer held an offsite for all of the Chief Architects from AOL, Netscape, CompuServe, ICQ and MapQuest (this was before the closure of the merger with Time Warner. After he posed a question to all of us, “What do you think was the best architecture document in history?”…

In the Web 1.0 world could use different approaches to scale static and dynamic data. This does not translate well into a Web 2.0 world where most content is dynamic (i.e., user-generated content) that can come from ANYWHERE…