But the total market size (in number of products) also multiplied. For instance, as a relatively tiny example, I create a nutrition tracker. There's hundreds already out there, but they never met my specific desire for one. So I created one with Claude (took maybe 2 hours total over a few days) that completely matches my desire, plus I can tweak it as want for my needs.

No one else will want this specific piece of software. But I love it.

Sure, there will be 100x the competition, but there will be also 100x the software needs. Now, if you want to get crazy rich building software, that does get tougher, but that's a good thing, I think.