After we were bought by Yahoo, the customer support people were moved far away from the programmers. It was only then that we realized they were effectively QA and to some extent marketing as well. In addition to catching bugs, they were the keepers of the knowledge of vaguer, bug like things, like features that confused users. They were also a kind of proxy focus group; we could ask them which of two new features users wanted more, and they were always right.
Being able to release software immediately is a big motivator. Often as I was walking to work I would think of some change I wanted to make to the software, and do it that day. This worked for bigger features as well. Even if something was going to take two weeks to write (few projects took longer), I knew I could see the effect in the software as soon as it was done.
If I'd had to wait a year for the next release, I would have shelved most of these ideas, for a while at least. The thing about ideas, though, is that they lead to more ideas. Have you ever noticed that when you sit down to write something, half the ideas that end up in it are ones you thought of while writing? The same thing happens with software. Working to implement one idea gives you more ideas. So shelving an idea costs you not only that delay in implementing it, but also all the ideas that implementing it would have led to. In fact, shelving an idea probably even inhibits new ideas: as you start to think of some new feature, you catch sight of the shelf and think, "but I already have a lot of new things I want to do for the next release."
What big companies do instead of implementing features is plan them. At Viaweb we sometimes ran into trouble on this account. Investors and analysts would ask us what we had planned for the future. The truthful answer would have been, we didn't have any plans. We had general ideas about things we wanted to improve, but if we knew how we would have done it already. What were we going to do in the next six months? Whatever looked like the biggest win. I don't know if I ever dared give this answer, but that was the truth. Plans are just another word for ideas on the shelf. When we thought of good ideas, we implemented them.
At Viaweb, as at many software companies, most code had one definite owner. But when you owned something you really owned it: no one except the owner of a piece of software had to approve (or even know about) a release. There was no protection against breakage except the fear of looking like an idiot to one's peers, and that was more than enough. I may have given the impression that we just blithely plowed forward writing code. We did go fast, but we thought very carefully before we released software onto those servers. And paying attention is more important to reliability than moving slowly. Because he pays close attention, a Navy pilot can land a 40,000 lb. aircraft at 140 miles per hour on a pitching carrier deck, at night, more safely than the average teenager can cut a bagel.
This way of writing software is a double-edged sword of course. It works a lot better for a small team of good, trusted programmers than it would for a big company of mediocre ones, where bad ideas are caught by committees instead of the people who had them.
Fortunately, web-based software does require fewer programmers. I once worked for a medium-sized desktop software company that had over 100 people working in engineering as a whole. Only 13 of these were in product development. All the rest were working on releases, ports, and so on. With webbased software, all you need (at most) are the 13 people, because there are no releases, ports, and so on.
Viaweb was written by just three people. I was always under pressure to hire more, because we wanted to get bought, and we knew that buyers would have a hard time paying a high price for a company with only three programmers. (Solution: we hired more, but created new projects for them.)
When you can write software with fewer programmers, it saves you more than money. As Fred Brooks pointed out in The Mythical Man-Month , adding people to a project tends to slow it down. The number of possible connections between developers grows exponentially with the size of the group. The larger the group, the more time they'll spend in meetings negotiating how their software will work together, and the more bugs they'll get from unforeseen interactions. Fortunately, this process also works in reverse: as groups get smaller, software development gets exponentially more efficient. I can't remember the programmers at Viaweb ever having an actual meeting. We never had more to say at any one time than we could say as we were walking to lunch.
If there is a downside here, it is that all the programmers have to be to some degree system administrators as well. When you're hosting software, someone has to be watching the servers, and in practice the only people who can do this properly are the ones who wrote the software. At Viaweb our system had so many components and changed so frequently that there was no definite border between software and infrastructure. Arbitrarily declaring such a border would have constrained our design choices. And so although we were constantly hoping that one day ("in a couple months") everything would be stable enough that we could hire someone whose job was just to worry about the servers, it never happened.
I don't think it could be any other way, as long as you're still actively developing the product. Web-based software is never going to be something you write, check in, and go home. It's a live thing, running on your servers right now. A bad bug might not just crash one user's process; it could crash them all. If a bug in your code corrupts some data on disk, you have to fix it. And so on. We found that you don't have to watch the servers every minute (after the first year or so), but you definitely want to keep an eye on things you've changed recently. You don't release code late at night and then go home.
With server-based software, you're in closer touch with your code. You can also be in closer touch with your users. Intuit is famous for introducing themselves to customers at retail stores and asking to follow them home. If you've ever watched someone use your software for the first time, you know what surprises must have awaited them.
Software should do what users think it will. But you can't have any idea what users will be thinking, believe me, until you watch them. And server-based software gives you unprecedented information about their behavior. You're not limited to small, artificial focus groups. You can see every click made by every user. You have to consider carefully what you're going to look at, because you don't want to violate users' privacy, but even the most general statistical sampling can be very useful.
When you have the users on your server, you don't have to rely on benchmarks, for example. Benchmarks are simulated users. With server-based software, you can watch actual users. To decide what to optimize, just log into a server and see what's consuming all the CPU. And you know when to stop optimizing too: we eventually got the Viaweb editor to the point where it was memory bound rather than CPU-bound, and since there was nothing we could do to decrease the size of users' data (well, nothing easy), we knew we might as well stop there.
Efficiency matters for server-based software, because you're paying for the hardware. The number of users you can support per server is the divisor of your capital cost, so if you can make your software very efficient, you can undersell competitors and still make a profit. At Viaweb we got the capital cost per user down to about $5. It would be less now, probably less than the cost of sending them the first month's bill. Hardware is free now, if your software is reasonably efficient.