It’s always a little disconcerting to see the big boys come down hard on the little guys. Here in New Zealand we recently had the story of luxury shoemaker Jimmy Choo threatening legal action over local website Kookychoo. Bear in mind that Kookychoo isn’t a fashion site and neither does it sell shoes.
In a similar vein I read the other day that KashFlow (CloudAve review here) is being threatened with legal action by BigCo Accounting software vendor Sage. It seems the KashFlow pricing page includes a comparison chart with other accounting products (image, with my super advanced airbrushing, below).
One of these products is Sage’s TAS Books 3 product. Seems Sage are somewhat miffed that KashFlow is using their product as a comparison and has taken their complaint to the local Trading Standards office saying that it is unfair and that it;
is likely to cause a detriment to Sage (UK) Limited by inducing potential customers to purchase alternative software solutions on the basis of erroneous and misleading information
Now I don’t know and frankly don’t care if TAS is a comparable product to KashFlow but as the inimitable Dennis Howlett writes;
it strikes me as odd that a £1 billion plus company should be going after a minnow like KashFlow
And that is the crux of the matter – SaaS is coming and the traditional vendors have been, and seem to continue to be, caught out by its ascendency. Rather than seemingly vexatious attempts to quash an underling, they should use their large resource pools, and put it to work building a product that is compelling. At least Sage has tried, releasing an initial SaaS product (more here) – although it has to be said they only need to talk to the community to avoid a number of the mistakes they made. And therein lies the problem – big business is just to slow, to lethargic, too busy complying and turf protecting to win under the new paradigm.
The corporation is dead!