← 📊 Economics

⚖️ Build vs Buy TCO

Build Buy
Build TCO (yr N):
Buy TCO (yr N):
Crossover year:
Recommendation:
FPS:
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⚖️ Build vs Buy: A Decision Framework for Machine Learning Projects

A 3D bar-and-line chart of cumulative total cost of ownership, comparing a custom-built machine learning system against a SaaS solution year by year, with a live marker showing exactly when — or if — one option overtakes the other.

🔬 What It Demonstrates

Build cost is dominated by an upfront engineering investment plus ongoing maintenance; Buy cost scales linearly with seats and time, plus a one-time integration cost that grows under regulatory constraints. Watching both curves reveals the crossover point.

🎮 How to Use

Adjust time horizon, engineering team size, SaaS price per seat and seat count, and toggle regulated/sensitive data. Bars and the trend line animate live; the gold marker flags the year Build becomes cheaper than Buy.

💡 Did You Know?

Per-seat SaaS pricing that looks cheap at 10 users can cost more than an in-house build once an organisation scales past a few hundred licences — the core insight behind most build-vs-buy TCO models.