Hardware improves much faster. Actually Software could always and can always be done without computers, like the old punch holes in the cards and Ada Lovelace's writings.
Still today, of course, Anything that can get done with real physical logic gates can get done with paper and pencil. Just takes longer, Result is the same.
Examples of great software that dropped my jaw back in the 90's:
- Microsoft Flight Simulator (Instead of becoming better and more famous, is almost forgotten)
- Bryce 4 (mind-blowing back then, wonder if still alive)
- :at request - Simcity ( I had never play, but my sister was addicted)
-:at sister's request - Empire Earth ( not sure that old, it's like Age of Empires)
- Myth: The Fallen Lords (best video-game ever made, for me, it is the saddening story you can hear about software death)