Margins would only be low if there are multiple companies with similarly good software.
But that is usually not what happens in the software space, especially for software that is expensive to build. Google still has its lead. About $200B in search revenue per year and still growing. Google's overall margin is 32% and the search business probably has an even higher margin.
Tesla has a good shot at becoming the first company to have a self-driving software that can run on vision alone.
But that is usually not what happens in the software space, especially for software that is expensive to build. Google still has its lead. About $200B in search revenue per year and still growing. Google's overall margin is 32% and the search business probably has an even higher margin.
Tesla has a good shot at becoming the first company to have a self-driving software that can run on vision alone.