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Well, I wouldn't say he is saying no to SaaS. I understand it more like "no to the small market" as he is calling it.
I still disagree though with some of his comments on SaaS ("so far no one has figured out how to make any money at it."). Knowing how he is involved with NetSuite, my guess is that he means "no one has figured out how to make huuuge amount of money"

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