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Mo Money

The Monetizely Pricing Newsletter

Oct 22nd, 2025

This is the 6th issue of "Mo Money", Monetizely's weekly newsletter about all cool things in the world of pricing and monetization.

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Take This Seriously

The Coming SaaS Deflation Spiral

Historically, software has been the largest deflating categories of products out of most other products in market. As AI commoditizes, SaaS companies face a seismic pricing challenge. In this episode, Akhil breaks down how the rise of $100M local LLMs, cheaper, decentralized alternatives to ChatGPT, threatens the very foundation of AI-based pricing premiums. As developers run powerful models locally and startups build ChatGPT alternatives for a fraction of the cost, the days of charging for "AI-powered" features are numbered. Akhil reveals the looming “Commoditization Death Spiral” and shows how forward-thinking SaaS companies are navigating this shift with Value Migration Pricing, monetizing implementation, integration, and workflow orchestration rather than the raw tech itself. This is a strategic blueprint for any founder, product leader, or pricing strategist building in an AI-saturated future.

Watch ->

Trend Surfing

The Regime Change At Your Doorstep

The software industry is undergoing a fundamental economic regime change driven by deflation, AI disruption, and macroeconomic pressures. AI has collapsed the cost of computation by over 99%, accelerating commoditization and eroding the gross margins that defined SaaS 1.0. The age of high-margin, predictable subscription software is giving way to a SaaS 2.0 era—one marked by persistent infrastructure costs, lower valuation multiples, and hybrid models blending software and services. Pricing, once a tactical lever, has become a survival mechanism. The conclusion is clear: in the new macro reality, AI eats software, and services eat everything. Companies that master pricing as a system, not a number, will define the next era of software.

Read his analysis →

Software Costs of Ownership

The Coralogix Case

We cover one of the most transformative pricing strategies in SaaS history : the story of Coralogix, led by CEO Ariel Assaraf. Facing the infamous observability paradox, where more data led to worse performance and higher costs, Coralogix made a bold decision: rebuild everything. From the ground up, they designed a product and pricing model centered around one radical idea : analyze before you store. This wasn’t just a pivot : it was a total rethink of how observability should work. With features like embedded databases, probabilistic data structures, and state stream processing, Coralogix enabled customers to process massive amounts of data in real time without bloated storage costs.

Watch →

Join Our Upcoming Free Pricing Masterclass

Nov 20th, 2025

Feel like your SaaS or AI product is leaving money on the table? Jump into Monetizely's live 3‑hour Executive Masterclass on Monetizing & Pricing SaaS & AI Products, a 4.6‑rated session led by pricing veterans Ajit Ghuman and Jan Pasternak (28 + years combined experience). In one fast‑paced workshop you'll master Monetizely's 5‑step pricing framework, dissect eight real‑world case studies, tackle a hands‑on exercise, and leave with a LinkedIn‑ready certificate as a "Monetizely Certified SaaS Pricing Specialist."

New Podcast!

Ajit Meets With Pragmatic Institute

Funny enough Ajit's Product Marketing career started around 12 years ago where one of the first things he did was take a Pragmatic Marketing class. In this episode things come full circle as he speaks to them on their podcast. Ajit walks through his journey from product management to marketing and eventually pricing, explaining why pricing is really an extension of segmentation, positioning, and value proposition. He makes the case that pricing isn’t a separate discipline but the action-oriented side of product marketing – where great storytelling meets real business results.Ajit also shares how shifts from high-growth to high-margin economies are changing the way leaders think about pricing and sustainability.

Check it out →

Have questions or feedback? We'd love to hear from you!

Mo Money | EP 6

Mo Money

The Monetizely Pricing Newsletter