As AI and better tools commoditize software creation, traditional technology moats are shrinking. The new defensible advantages are forms of liquidity: aggregated data, marketplace activity, or social interactions. These network effects are harder for competitors to replicate than code or features.
Figma delayed monetization to accelerate growth. However, enterprise customer Microsoft stated they couldn't depend on critical free software that might go out of business. This customer pressure was the catalyst for Figma to implement a pricing model, proving viability is key for enterprise adoption.
As cloud computing and developer tools made software easier to build, competition surged. This shifted business value from pure engineering to design and user experience, which became critical for standing out. Design went from a cosmetic afterthought to a core strategic function.
True kindness in leadership isn't about avoiding confrontation. According to Figma's CEO, it's a leader's duty to provide direct, even difficult, feedback. Withholding critical information is ultimately unkind because it lets problems escalate, harming the individual and the team in the long run.
