Not a new idea at all, but the implications hit me hard as I was considering monetization models for my apps.

Unless you are lucky (network effects, timing), grandfathered in, or provide exceptional value, the natural cost of software is free.

Intuit is an example of a grandfathered-in, exceptionally high-value software approach.

And Intuit knows it. They leverage their advantage to a predatory extent.

My wife is an EA, and I know for a fact Intuit puts the screws to all its users. Switching costs are high, and since the sector is an oligopoly, there's really no one to switch to.

But that too shall pass. Hopefully we'll soon see people create bespoke solutions that cut Intuit out. Oh, how I look forward to that day (ironic, I know).

This implies, I think, that if you can't find 1,000 fans or got in under the old model, getting as many users as possible and then transitioning to an advertising model is The Way.

Or perhaps loot/gambling style addictive mechanics? Big data? Everyone an influencer? Regulatory niches?

Once you have scale, advertising works; then users can either pay to avoid it or endure it. We see Netflix and Amazon Prime already doing this.

Yuck. I'm already nostalgic. Or am I wrong?