Terminal Value
Terminal Value is a market landscape podcast that breaks down where value accrues in AI, software, and technology markets through deep dives with founders, operators, and investors.
AI Software Has a Gross Margin Problem — Frugal’s Mike Weider on the Future of Cloud Cost Management
AI-native software is changing the economics of SaaS.
For years, cloud cost management was mostly about visibility: dashboards, budgets, showback, chargeback, and rate optimization. But as AI usage, token costs, observability bills, and cloud consumption become material parts of software gross margin, the problem is moving closer to the code itself.
In this episode of Terminal Value, I sit down with Mike Weider, Founder & CEO of Frugal, to discuss the shift from traditional FinOps to Application Cost Engineering.
We cover why legacy cloud cost tools mostly helped companies measure spend, how Frugal maps...
