Sarah Wang: Software CEOs face two choices for growth and profitability

Sarah Wang: Software CEOs face two choices for growth and profitability
Software CEOs face growth or margin push

Software industry leaders must make strategic decisions in the coming 12 to 18 months, according to Sarah Wang. She outlines two key paths forward for software CEOs: accelerate revenue growth by more than 10 percentage points year-over-year through launching genuinely new AI-native products, or restructure companies to achieve over 40 percent true operating margins, ideally reaching 50 percent, with stock-based compensation included.

Wang emphasizes that average performance will no longer be sufficient as competitive pressures increase.

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