Software I Pay For

Software and services I pay for

• 1password (~$3/mo)
• iCloud 200GB ($3/mo)
• Mozilla VPN ($5/mo)
• Youtube Premium ($14/mo)
• Hulu (ad free version) ($18/mo)
• Jetbrains/Rubymine ($59/yr)
• Software Design: Tidy First? substack ($70/yr)
• Pragmatic Engineer substack ($150/yr)
• Leetcode ($159/yr)

The state of computer software is totally different from when I grew up in the 90s/early 2000s. I still have some memories of software being sold in packaged boxes with CDs, usually with a printout of a serial key. Games, too. One of my favorite games, Diablo II, came in a plastic CD case with the serial key printed on a label. I imagine it was cheaper to do it this way. The expansion, Diablo II: Lord of Destruction, came in a multi-CD case because it was that big. Back then, it wasn’t feasible to download video games unless you had really good internet. For reference, CDs had the capacity of 700 MB, and downloading this much data over a modest DSL connection of 1 Mbps would take roughly 1.5 hours. I have fuzzy memories of getting angry over interrupted downloads and needing to restart them (from the beginning).

Computer hardware, internet speeds, and software have come a long way since then. I would argue too, so has how people think about paying for software.

When software was sold in a physical medium, you would “own” that software in the literal sense of the word. You could resell your copy of Photoshop or Diablo II. Unlike this “digital ownership” model ¹ that we have today, where access can be revoked at any time ² and users can be hindered by DRM.

Software was also released on a regular cadence. It was common for major versions to be released yearly, with bug fixes and small improvements to be made available via download. Compared to today, the cadence was slower, but at least you would own a perpetual license for that version. Adobe used to follow this approach with their creative suite (Adobe CS) up until CS 6.

Another way software was distributed was as shareware. These were usually smaller applications that were made free to download, with limited capability or a time-based trial. At some point, it became common for shareware installers to bundle additional software to generate extra revenue ³. It’s been over a decade since I have been an active Windows user, so I don’t know if this practice still exists.

As a consumer, it’s interesting to see the evolution of how software is “sold” and monetized. The perpetual license model has become subscription-based. Shareware still exists, but as mobile apps. They are free to use but vary in how they earn revenue: ads based, premium unlocks, and micro-transactions (one could argue selling user data is also another revenue stream, especially as LLMs become more prevalent and require increasingly larger datasets). I wonder how the smartphone generation thinks about the status quo.

When I was younger, I used to spend a tremendous amount of time trying to find ways to get software for “free” or at low cost. This was partly because I didn’t have the financial means and partly because I didn’t think it would hurt anyone. Sometimes this involved looking for free or discounted access, perhaps as a student, or through means that may or may not have involved cracks and/or keygens. If there were free alternatives or workarounds, I would have looked into those too. But now I don’t. If there is a quality solution and it seems reasonably priced, I’ll readily offer my credit card.

Why? Because for some software, I think it’s worth it. Take 1password, for example. To me, it’s a piece of software that just works across multiple devices and takes the hassle out of managing passwords. The ability to generate random passwords for websites and apps is especially appealing today, given the rising number of security breaches. It’s about $36 a year, or $3 a month, which I can mentally justify. Surely, synchronizing passwords to their servers doesn’t cost much, but they have employees to pay and shareholders to appease. ⁴

Or maybe it’s because I’m tired? Tired of all the ads and the hamstrung functionality (e.g. unable to play background Youtube videos on mobile). I know ad blockers exist for desktop and, to some degree, mobile, but is it really worth it?

But lastly, it’s because if I pay for something, it’s with the hope that it leads to a sustainable business. I have less anxiety that software I pay for will shut down, either due to vanishing venture funding or failing to meet metrics (looking at you Google) ⁵.

Thanks to Guilherme Albertini for reading drafts and providing feedback.