Welcome to The Cirrostratus Group February newsletter.
Previously, I've written about some of the changes required as you incorporate Artificial Intelligence (AI) into your SaaS product such as
and the importance of managing the associated services. The article below, written by investors in AI businesses, builds on that and talks about several differences in an AI software business model. I strongly recommend you read the article if you are using or considering using AI in your SaaS product. I think one of the biggest implications is the potential of lower gross margins. Most importantly the article has some suggestions of how to potentially address some of the business model differences and challenges.
Gartner's Magic Quadrant for Data Science and Machine Learning Platforms just came out. They include 16 vendors in the evaluation, all the way from the large cloud providers such as Google and Microsoft, to much smaller providers. The vendor offerings and their strengths and weaknesses are quite diverse and provide lots of alternatives. I think it is great that Gartner is focused on the whole solution life-cycle including
monitoring & maintenance. These items are critical to get right in the SaaS model because of their importance to customer satisfaction. You can get a free copy of the Magic Quadrant here from Dataiku, one of the vendors in the leader quadrant.
I'm always interested in hearing about your experiences with delivering cloud applications.
The Cirrostratus Group