Prith Banerjee recently joined ABB as CTO. I appreciate his comments on why software plays a major role at ABB. ABB has not been recognized as being a software company because much of the software has been embedded in other products. This is changing. Software is being embedded in more and more of ABB’s products. As Prith Banerje says,”Who would have thought only some years ago that a power transformer would have a software component?” But, and this is important, this also has consequences on how to organize the work. Software is not a transformer although it is part of one. This is why ABB started the Software Development Improvement Program to assure high quality in all software development work.