Why Cypress.io’s Test-Execution–Based Revenue Model Is Doomed? (Part 2): Factors for a Test-Execution–Based Revenue Model to Succeed *
Cypress’s technical limitations conflict with a revenue model built around test execution. A poor business decision due to a lack of real understanding of end-to-end test automation.
For the first time, I will split the articles in this series into two separate newsletters: Agile Way (focused on test automation) and Software Side Hustler (for business decision-makers).
Part 1: The Traditional and Failed High-priced tool with proprietary framework approach (Software Side Hustler)
Part 2: Key Factors for a Test-Execution–Based Revenue Model to Succeed (AgileWay)
Part 3: Revenue based on test execution is a completely different game from the traditional tool-based revenue approach * (Software Side Hustler) - upcoming
Part 4: Test-Execution–Count-Based Model Invites Competition (Software Side Hustler) - upcoming
Part 5: Subtlety behind Test-Execution–Based Revenue Model * (Software
Side Hustler) - upcoming
In Part 1, I explained the previous generation of commercial E2E test automation: high-priced tools built around a proprietary framework, which all failed. In that model, things were straightforward from both the vendor’s and the user’s perspective, though expensive and restrictive.
For example, if you joined a company as a new automation tester and the organization had mandated E2E test automation using HP QTP. You had to develop, debug, and execute test scripts within that expensive tool. Of course, the number of test executions is quite limited (compared to continuous testing). If you ran into problems, online resources were limited. Your main option was to contact vendor support and hope for a timely, relevant response—which often didn’t happen.
Once moved away from proprietary tool-based approaches, test scripts could be executed in alternative ways. In the case of Cypress.io, Cypress Cloud is its primary (if not only) revenue generator. That shift fundamentally changed the game.



