The 'Cancel SaaS and Build Your Own' Era: Lessons from IDX Advisors and the Rise of Edge Platforms

In my previous post, I discussed how the rise of AI agents could fundamentally disrupt existing SaaS business models. This time, I want to share a real-world case where that theory has already become reality — delivering measurable results.

1. Replacing $150K/Year in SaaS Costs with Custom-Built Software

As a concrete example that supports the argument from my previous post, let me introduce the case of IDX Advisors, an asset management firm based in Arizona.

Despite being a lean team of roughly 10 employees, IDX Advisors had been paying substantial subscription fees for enterprise-grade financial analysis tools used in investment research and forecasting. Last year, they made a decisive move: canceling all of their SaaS subscriptions.

Using Anthropic’s Claude Code, they built custom software tailored specifically to their proprietary data and analytical workflows. The result: $150,000 in annual cost savings.

Source: The Information — One Investment Firm Using AI Cut Software Costs

2. Winners and Losers: Where Software Value Is Shifting

This case is not simply a story about cost reduction. It signals a fundamental shift in where value resides across the software industry.

The Losers: Feature-Delivery SaaS Companies

SaaS companies that have relied on bundling specific features with a polished UI are facing serious headwinds. When users can leverage AI tools like Claude Code to build software precisely tailored to their business needs in a matter of days, the rationale for paying premium monthly subscriptions weakens considerably.

The Winners: Infrastructure and Platform Providers

Meanwhile, demand is surging for platforms that make it easy and safe to deploy and operate this wave of custom-built software. The companies gaining momentum here are Vercel and Cloudflare.

Compared to AWS (Amazon Web Services) and GCP (Google Cloud Platform), which require significant infrastructure expertise to configure and maintain, these platforms offer distinct advantages:

• Streamlined deployment: Ship AI-generated code to global infrastructure with just a few commands.
• Edge computing: Cloudflare, in particular, enables applications and AI models to run on its globally distributed CDN network — processing requests physically close to end users for lower latency and better performance.

3. Why Edge Computing Is a Game-Changer for SMBs

Edge computing platforms like Cloudflare — which allow you to run your chosen AI models at locations physically close to your users — represent a compelling option for small and mid-sized businesses moving toward a build-your-own approach.

We are transitioning from an era of “renting SaaS” to one of “building with AI and running at the edge.”

Through my own hands-on work, I have come to believe that the combination of Vibe Coding and edge execution environments offers the best balance of cost efficiency and flexibility available today.

The “end of software” as we know it is also the beginning of a new platform era. I believe this shift should be seen not merely as a cost-cutting opportunity, but as a chance to build proprietary intellectual infrastructure unique to your organization.

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Related post: Beyond the ‘Death of SaaS’: Where Rule-Based Precision Meets AI Agents