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Home > SaaS Backwards - Reverse Engineering SaaS Success > Ep. 161 - Is User-Based Pricing Dead? How AI Is Reshaping SaaS Monetization
Podcast: SaaS Backwards - Reverse Engineering SaaS Success
Episode:

Ep. 161 - Is User-Based Pricing Dead? How AI Is Reshaping SaaS Monetization
Category: Business
Duration: 00:36:20
Publish Date: 2025-04-11 15:00:00
Description:

Guest: James D. Wilton, Founder & Managing Partner of Monevate

The advent of AI is forcing a complete rethink of traditional SaaS pricing—particularly the long-standing dominance of user-based pricing. 

In this episode, pricing strategist James Wilton explains why AI-native products are undermining the foundations of per-seat pricing models. 

Unlike traditional SaaS, where users are the proxy for value, AI tools often perform tasks autonomously, disconnecting cost from usage in unpredictable ways. 

As a result, the most value-aligned and sustainable pricing approach for AI-powered platforms is shifting toward usage-based models. 

Wilton argues: "If you’re still defaulting to user-based pricing, you’d better be ready to defend it."
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