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Build vs. Buy vs. AI

5 min read

Software Arch

You're the one evaluating options. Add 'can AI do this?' to the decision tree. It changes the calculus for a lot of problems.

Platform

Platform decisions now include: build our own, buy a vendor, or use AI-assisted implementation. You own the tradeoff analysis.

Tpm

Your roadmap prioritization just got a new variable. AI can accelerate some work to near-zero. Factor that into capacity planning.

Build vs. Buy vs. AI

TL;DR

  • The old choice: build it or buy it. The new choice: build it, buy it, or let AI help build it faster/cheaper.
  • AI shifts the build option: what used to take 3 engineers for 6 months might take 2 engineers for 3 months. Re-run the build vs. buy math.
  • David makes these calls. He needs a framework. Here it is.

Every project used to be: build (we have the skills, we want control) or buy (faster, someone else maintains). AI adds a twist: build with AI assistance can be dramatically cheaper. That changes the math.

The Updated Decision Tree

Build when:

  • Core to your product or strategic advantage
  • AI can accelerate implementation meaningfully
  • You have the expertise to direct and validate

Buy when:

  • Commodity need (auth, payments, etc.)
  • Vendor has scale and security you can't match
  • Build would distract from core product

AI-assisted build when:

  • Implementation is standard (CRUD, APIs, dashboards)
  • You have people who can direct AI and review output
  • Buy options are expensive or inflexible

The new question: "Could we build this with AI in half the time?" If yes, the build option just got more attractive.

What This Changes

  • Vendor evaluations: Some vendors sold "we'll build it for you." Now you might build it yourself with AI. Revisit the ROI.
  • Capacity planning: Same team can take on more. Or you need fewer contractors. Model it.
  • Skills: You need people who can direct AI, not just people who code from scratch. Hiring criteria shift.

Don't Overcorrect

AI doesn't make everything a build. Compliance-heavy, security-sensitive, or highly customized work may still be buy. The framework is a lens, not a rule.

Quick Check

A project used to be build or buy. AI adds a twist. What's the NEW question for build vs. buy decisions?

Build or buy. That's the choice. Build = 3 engineers, 6 months. Buy = $200K, vendor lock-in. You pick buy because build is too expensive.

Click "Build vs. Buy vs. AI" to see the difference →

Do This Next

  1. Pick one upcoming project and run it through the build/buy/AI-assisted lens. What's the best option now? Has it changed?
  2. Document your criteria for when AI-assisted build is appropriate. Share with your leads. Make it a shared framework.