Argon & Co predicts SaaS dead by 2028, launches IRIS

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Global management consultancy Argon & Co [https://www.argonandco.com/en/] has released a white paper predicting that traditional Software-as-a-Service models could be obsolete by as early as 2028. The paper, titled "IRIS. Enlightened AI with real ROI [https://www.argonandco.com/en/news-insights/whitepapers/ai-with-real-roi/]," states that Australian enterprises will rapidly abandon traditional SaaS models as AI application agility, customization capabilities, and economic pressures force a fundamental reinvention of the entire software category.

The firm's predictions outline a specific trajectory. In the next six months, new AI applications will work together more seamlessly through AI Platforms (cloud-based, on-premise, or AI-as-a-Service). In 12 months, businesses will start to notice that consumers are capturing more benefits from AI than they are. In 18 months, the lines between human and machine interaction will blur to the point of reaching Industry 5.0, where humans and AI work side-by-side in more natural, integrated ways. In 24 months, Artificial General and Super Intelligence could begin tackling major global challenges in health, the economy, and society. In 36 months, SaaS revenues will be so sharply damaged by new AI innovation that the entire industry will need to completely reinvent itself or become obsolete.

Managing Partner Paul Eastwood stated: "We're witnessing the beginning of the end for traditional SaaS, to the point where committing to a multi-year SaaS platform rollout could potentially be career-ending for an executive. We've given SaaS until 2028 before it's phased out, but that may actually be generous given the speed at which companies are racing to capture the AI opportunity."

AI and data integration driving new economics

Argon & Co has launched AI and data for operations consultancy "IRIS" in APAC, with Aiden Heke appointed as Managing Director. IRIS delivers the functionality promises of SaaS platforms but with the exponential potential of AI, at a fraction of the cost, without the punitive licensing regimes of legacy providers, and currently with a targeted 10x return on investment for clients.

IRIS can strategically inform a company's AI strategy, implement multiple AI and automation solutions already in production with clients, and manage this new category of AI software through a proprietary AI enterprise platform. The firm provided case studies: one major real estate developer reduced HR effort by 70% through AI assistants, while a global drinks brand cut ERP processing effort by 70% and accelerated content creation 5x with GenAI tools.

According to Argon & Co, what would once have taken months and millions to deliver can now be achieved in weeks at a fraction of the cost. Eastwood explained: "Traditional SaaS models based on punitive licensing regimes and vendor lock-in will simply not be able to compete against unlimited customization, true data ownership, and ROI that makes traditional software investments look like highway robbery. And by turning a six-month, million-dollar project deliverable into a nine-week sprint at a fraction of the cost, we are already showing that AI transformation isn't the future, this is happening right now."

Industry paralysis and the path forward

The white paper identifies what Argon & Co calls "industry paralysis," where many enterprises are currently stuck at AI proof of concept or strategy setting instead of implementation. The firm attributes this to multiple competing AI forces creating market confusion.

Heke commented: "Throughout my career, I've watched brilliant executives become paralyzed by choice when it comes to decision-making around data management and enterprise software. But never before have I seen such paralysis and stranded pilot programs as we are seeing now when it comes to the complexity of AI options."

He also noted: "Australian productivity also continues to lag other developing countries, and this is a millstone around our collective economic necks. Invention is not our issue-the technology is here. What we need is to urgently yet securely plot our way to new levels of productivity through the adoption of technologies like AI."

Argon & Co is a global management consultancy that specializes in operations strategy and transformation. Its expertise spans supply chain planning, manufacturing, logistics, procurement, finance, and shared services. The firm has 17 offices across Europe, Australasia, America, Asia and the Middle East.

Eastwood concluded: "The smart money is already moving away from traditional software licensing, and Australian enterprises that don't wake up to this reality will be left behind. So the question isn't whether SaaS will die. The question is whether you're willing to cling to that sinking ship and go down with it, or reinvent yourself and sail."

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Company Name: Argon & Co
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Country: Australia
Website: https://www.argonandco.com/

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