As tech companies large and small shed employees, hoping to better align their earnings statements with new market realities, it’s clear that cutting costs to please investors is the new normal. But there are other ways to please the invested public, including breaking growth and profitability.
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That’s what UiPath did last week when it reported its financial performance, which included a top and bottom line that beat analysts’ expectations. The stocks are up.
While downsizing, reducing projects, and treating money with respect is fashionable today among technology companies and many of their customers, there is a wrinkle in the trend. One way to make your labor cheaper is to downsize. Another is to make your spending dollars more efficient by making it more efficient.
That’s where UiPath and its biggest automation market — robotic process automation, or RPA — can have an edge over other software categories. A positive earnings report from Appian last month and a lengthy discussion about its automation business during the earnings call underscored tech companies’ strong interest in automation assistance.
There is more information on the point we were chewing over. A recent report on software spending from Battery Ventures contains much more information than we discussed previously.
In short, everyone wants to save money on their software costs. But if your startup is building technology to automate tasks and deliver rapid productivity gains, you may be able to mitigate the slowdown. Let’s talk about it.
Today’s cost-conscious business environment may provide an incentive for RPA, according to Anna Heim, who publishes on TechCrunch.
