I think it still applies, even if it’s not an exact analogy. Consider a lawn mowing service. Anyone with a lawn mower in your neighborhood can compete with you and charge less. So you need to offer more than just the fact you’re mowing their lawn for $X, or if consumers only care about price, tough luck.

Yes, lawn mowing services aren’t global over the internet. Not I think the same principle still applies: to have to offer more than just some value proposition that can be copied. The global nature of software just means anyone can compete from anywhere.