article

Accounting for SaaS and swords

Mar 18, 2022·~18 minutes·1 chapter

Chapters

1 total

One classic misunderstanding by engineers is that data can be compared reliably by computers. On the one hand, this is a foundation on which our civilization now rests. On the other hand, human society doesn’t evaluate data—bits—like computers do. Bits have history to them, provenance, moral character, intent, and other epiphenomena which are not directly inspectable. Matthew Skala called this the colour of bits, in a seminal essay that remains one of the Internet’s best meditations on the topic.

18:06

Description

Revenue recognition for software companies is much deeper than many appreciate, and improbably implicates the age-old question "What is the economically useful life of an imaginary sword?"

We are not affiliated with Patrick McKenzie. This unofficial audio edition is available to listen to and share for free. Read the original on Bits about Money.

Details

Duration

~18 minutes (17K characters)

Release date

Mar 18, 2022