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The "Death" of the SMB Enterprise Model (And Why We’re Celebrating)

  • Writer: Micah Margolis
    Micah Margolis
  • 19 minutes ago
  • 1 min read

For decades, the tech industry has treated SMBs like second-class citizens. Vendors simply took massive enterprise tools, stripped out the features, and "pushed them downstream."


It was a disaster.


In follow up to our last post on the subject, our CEO, Micah Margolis, was featured in CX Today, discussing how the economics were simply broken. Big vendors didn't "abandon" SMBs by choice; they abandoned them because their manual, service-heavy models made serving smaller companies a losing game.


The Controversial Truth: SMBs are the New Innovation Leaders

While most enterprise companies can still be bogged down by eighteen-month deployment cycles, the SMB space has moved on to better things. Our CEO argues that we are seeing a fundamental "flip of the equation":

  • Services are being replaced by automation.

  • Workflows are being replaced by agentic AI.

  • Value is measured in days, not quarters.


The "Builder Mindset"

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The most provocative takeaway (if we do say so ourselves), is that SMBs aren't just a

"market segment" anymore. They are the industry's innovation partners!


Because smaller teams possess what Micah calls a "Builder Mindset," they are willing to experiment and break things in a way most enterprises wont to find what actually works.


At KTV, we don't believe in the old "buzzword-heavy" sales pitch. As our CEO says, "Real humans don't buy because of buzzwords. They buy because another real human said, ‘This works’".


The "broken economics" of the past are dead. We’re busy building the high-speed, AI-native future that’s replacing them.


 
 
 

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