Interview
Monday.com CEO on Is SaaS Dead: Will Everything Be Vibe Coded | Eran Zinman
- The total addressable market for software is forecast to grow 100x, with software spending rising from the current 8% to 12% range to significantly higher levels by 2030 as companies shift budgets from headcount to software, potentially reaching 7% to 8% of the budget for software historically versus 60% to 70% for headcount in the future.
- A market transition is predicted for two to three years from now where spending shifts decisively toward software and away from headcount, with Monday's headcount growth target for 2026 potentially lowered from mid-teens to a lower, unspecified number and no substantial headcount growth expected by 2030 from the current base of approximately 3,000 people.
- The company plans to pivot its product focus from dashboards to a horizontal platform for agents and humans, along with two fully agentic vertical offerings in CRM and Service built from scratch, while transitioning its pricing model eventually to 100% consumption rather than the current hybrid model.
- Market risks include a potential "doomsday" scenario where core systems like Monday and Salesforce become obsolete databases for agents, a 10% acquisition hit attributed to Google's AI search mode affecting transactional SMB deals, and the necessity for a huge transition period to document the 90% of currently undocumented company content required for AI integration.
- Financial strategies include a plan to spend an $870 million buyback program over the next two to three years, with the speaker personally committing to buying shares when 10b5-1 plans open, maintaining a floor price of $10 for personal sales, and asserting no need to raise more money or go private.
- The outlook anticipates a cycle where public company valuations rise after demonstrating consistency, with investors eventually recognizing the massive opportunity in agentic work that could handle 90% to 100% of future tasks, while competitors like ServiceNow and Salesforce face significant market value declines of 50% and 60% respectively.
- Execution priorities focus on revenue, retention, and efficiency to re-accelerate growth, leveraging existing cash and talent to capture the infinite demand for AI products, with the belief that the current low sentiment represents a bottom from which only growth is possible.