In theory, if the SaaS provider has priced its solutions properly, then charges for the equivalent of maintenance, support, and updates should be factored (added) into the single SaaS recurring fee.

From this perspective, I don't think there is anything inherently wrong with the SaaS model from a pricing standpoint. Certainly and other companies have made it work. It seems more likely that LucidEra's problems were more fundamentally related to lack of demand for their solutions. This ties directly to Cindi Howson's hypothesis. It is difficult to fault the ugly VC environment, considering how much LucidEra was able to raise successfully.