It is clear that the cloud is disrupting the way most software is deployed and consumed. Benefits such as elasticity, agility, and operational cost savings make it very compelling for companies to go with the cloud model, and the simplicity of the browser compared to desktop software makes cloud software a favorite for end users, as well. The battle between Salesforce.com and Siebel back in the 2000s is a constant reminder of the dramatic advantages of the cloud model. The benefits of the cloud model are so compelling that it would be hard for an idea that bets against that model to even get VC funding.

What about software development tools? Why are most developers still downloading gigabytes of software libraries and installing it on their laptops? Should development tools move inside the browser also? Yes—software development tools will also end up disrupted by the cloud.

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