At this point it is not news that the world is going As-A-Service. Almost everything can now be obtained in a subscription form, not just “rented”, but with actual outcomes-based subscription.
And I know, I am the first one to point out how that’s great for many things, but not all; and how I like to own certain things, and how I get more value out of things that I keep for many years.
Putting aside how we would extract value of a given asset, the extra work and cost to maintain them in tip-top shape, and the depreciation that we must take into account at least when it is time to replace it.
Let’s also put aside the fact that sometimes it is difficult (or they make it difficult) to switch among suppliers, to seamlessly move our data, preferences, and settings. (BTW this is part of the promise of Web 3).
I would say that with enough customization and within reasonable pricing, as-a-service is much more convenient and that it will take over the world of commerce.
So the question that I have been pondering is: In a world where everything comes as-a-service, and therefore, it is never necessary to purchase a large capital good; what do we need credit for?
Any of my banker friends has some insights? Could it be that the whole financial world will be trending towards financing only large capital goods necessary to put together XaaS offerings, and smaller personal loans to get people started on services?