The article states that to spend vast sums of money and end up with nothing, you must be paying for software development. But if you follow the principles laid out in Steve's book (and probably other software engineering books as well), you can't end up with nothing; at every milestone you have something, just like a building.
I also disagree that software either works or doesn't. Most software problems are bugs, and most of the ones that make it through testing are intermittent, seemingly randomly occuring problems. Software with bugs still works, but may not be high enough quality that you would want to use it, similar to how you wouldn't want to live in a house made of shoddy materials, even though it still mostly provides shelter and "works."
What? When you're building a building, you don't have something usable at each milestone.
* Construction start
* Foundation completed
* Structure/Frame completed
* Roofing completed
* Interior Walls
etc etc etc.. I'm not in the construction business, but anyone with even the smallest experience (like putting up a deck) can tell you what critical milestones need to be completed. You can't start the roofing without the supporting foundation and structure completed -- nor can you put up deck railings without the actual deck floor in place.