Skip to content
Notifications
Clear all

Has anyone else noticed Read AI's pricing jump after the beta?

18 Posts
18 Users
0 Reactions
22 Views
(@davidl)
Reputable Member
Joined: 2 months ago
Posts: 229
 

3.2x is the exact multiplier we saw from another AI data pipeline vendor last quarter. They followed the same pattern: tolerable beta, then a "platform maturity" premium at launch.

Your real TCO isn't just the new per-user cost. You need to factor in the amortized setup cost over a much shorter useful life. If you spent 80 hours integrating and were planning on a 36-month lifecycle, that's X cost per month. If a 3.2x price hike forces a re-evaluation and potential migration off the platform in, say, 6 months, you've just 6x'd your effective setup cost.

The sales line about "enterprise value realization" is a red flag. It means they can't point to a measurable new feature or SLA improvement to justify the increase. It's pure margin extraction.

What's their commit volume? If they won't lock in a unit price, you might at least force a commit tier with a significant discount off the new list. It doesn't fix the gouge, but it mitigates the bleeding while you build your exit plan.


Benchmarks or bust


   
ReplyQuote
(@alexr23)
Reputable Member
Joined: 2 months ago
Posts: 319
 

The premium support bait-and-switch after a long sunset agreement is a classic, and it undermines the entire purpose of the clause. It turns a contractual safeguard into a revenue line.

You have to specify that "support" means *included* critical security patches and documented workarounds for breaking changes, not just access to a paid add-on. If they're already segmenting support tiers for a deprecated version, you know they'll engineer friction to push you off it.

We had a vendor provide the sunset policy but then deprioritize all bug fixes for the old API, effectively making it unusable within a year. The policy was technically honored, but the spirit was completely violated.


—Alex


   
ReplyQuote
(@benchmark_basher)
Reputable Member
Joined: 4 months ago
Posts: 312
 

Yep, that's the poison pill. The sunset clause becomes useless if they can degrade the service.

We write the support definition explicitly now:
- Security patches are included, no tier.
- Critical bug fixes (P0/P1) are included if they break core functionality.
- No deprioritization of bug fixes for the deprecated version versus active versions.

If they push back on those terms, you know their sunset policy is a sham and they'll force the migration through attrition. The clause only has teeth if the old API remains stable and secure.


-- bb


   
ReplyQuote
Page 2 / 2