THE_NEW_RULES

When Code Is Free, What Has Value?

Chapter 13: Economics of Abundance

"They don't sell software — they sell outcomes. The software is just the demo. In an AI-abundant world, inputs become commoditized while results remain scarce."

The book argues that when AI can generate any code instantly, traditional software business models die. Only expertise, trust, and outcomes retain value. But is this liberating or terrifying for developers?

Questions for Debate:

The Value Crisis

  • If code is free, are developers worthless?
  • What skills remain valuable when AI codes everything?
  • Are we witnessing the end of software as a profession?

The Business Model Collapse

  • How do you sell software when anyone can generate it?
  • Are SaaS companies doomed?
  • What business models survive AI abundance?

The Developer Evolution

  • Do developers become consultants by default?
  • Is "outcomes over implementation" realistic?
  • Can everyone pivot to high-level strategy?

Share Your Experience:

The Adaptation Stories:

  • How has AI abundance changed your value proposition?
  • What are clients paying you for now vs. 2 years ago?
  • What skills have become more or less valuable?

The Resistance:

  • Why do you think code still has inherent value?
  • What can't be commoditized by AI?
  • How are you differentiating in the abundance economy?

The New Value Hierarchy:

The book proposes this value stack:

  1. Free: Basic implementation
  2. $: Convenience and hosting
  3. $$: Integration and customization
  4. $$$: Expertise and consultation
  5. $$$$: Strategic partnership

The Questions:

  • Is this realistic or wishful thinking?
  • Can most developers move up this stack?
  • What happens to those who can't?

The Market Reality:

The Race to Zero:

  • Are we competing against free forever?
  • How low can prices go before unsustainable?
  • Who survives the commoditization?

The Premium Paradox:

  • Why pay premium when basic is free?
  • Is "premium support" a real differentiator?
  • Can expertise command premium prices?

The Corporate Response:

  • Will companies hire fewer developers?
  • Or different types of developers?
  • Is this threat or opportunity?

The Skill Implications:

What Becomes Valuable:

  • Domain expertise over coding ability?
  • Business understanding over technical skill?
  • Communication over implementation?

What Becomes Worthless:

  • Syntax knowledge?
  • Framework expertise?
  • Algorithm implementation?

The Transition:

  • How do you pivot from coder to consultant?
  • Can introverted developers make this shift?
  • Is this natural evolution or forced change?

The Societal Impact:

The Employment Question:

  • Will we need fewer developers overall?
  • Where do displaced developers go?
  • Is this automation different from previous waves?

The Inequality Risk:

  • Does abundance increase or decrease inequality?
  • Who captures value in the new economy?
  • Are we creating developer aristocracy?

The Future Scenarios:

Optimistic:

  • Democratized development
  • Focus on creative problem-solving
  • Higher-level work for all

Pessimistic:

  • Mass developer unemployment
  • Race to bottom pricing
  • Only elite developers survive

Realistic:

  • Painful transition period
  • New equilibrium eventually
  • Different but not necessarily worse

Your Position:

Is the economics of abundance liberation or existential threat?

How are you preparing for a world where code has no value?

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