Category: Point of View

Services-as-Software (SaS), a term coined by Phil Fersht of HFS Research, is the shift from people-heavy projects and static software to AI-driven, outcome-focused services delivered like software. SaS is projected to become a $1.5T market by 2035 as software and services converge, reshaping how IT/BPO providers and advisory firms deliver value. It creates existential risk for "hours factories," but also the biggest growth opportunity in a generation for firms that productize their expertise, embrace agentic AI, and move to scalable, subscription and outcome-based models.