Whilst the theory was great, it seems that the reality is not.
Is ARR actually guaranteed to recur ? No.
Did the company’s value go up - as expected and forecasted at multiples never seen before ? No.
Did overall revenue go down, quarter on previous year’s quarter ? Yes.
Did the rush to cloud kick start a commoditisation of simplistic workload and data ? Yes.
Idea was good as this is exactly the market direction. On the execution side I share all the points. Another one bites the dust
Who said we are going 100% ARR? There is a plan to transition everyone to ARR but we aren't there yet as I'd say most of our on-prem customers are still SOW based.
All good points. At the end of the day, we still need to sell products/services that our customers want/need, regardless how we recognize revenue. Switching to ARR just seemed like another distraction during our protracted transition OODA loop.
I'm curious to know if the switch to ARR came from that whiz-bang consulting company that we hired.