Richard Stallman (EFF) is a great example of a very smart person who is blinded by their own prejudices. Here he's slamming Software-as-a-Service (SaaS) for one issue, while completely ignoring (indeed, not even mentioning!) it's many benefits.
No solution to any problem is 100% perfect. Every choice is an exercise in balancing out the pros and cons. Every time I buy a new vehicle I'm reminded of this – there are a bewildering variety of choices available, each with its own advantages and disadvantages. Imagine how arbitrarily limited your choices would be if (for example) you refused to consider vehicles that came with floor mats as standard equipment. That's roughly what Stallman is advocating here.
SaaS is just one way to buy software. It's got a suite of advantages that I (and many others) think are compelling, and a few disadvantages, many of which can be mitigated or minimized. Refusing to consider SaaS for the reasons suggested by Stallman is just silly...
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