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Following the release of the latest artificial intelligence (AI) models, software stocks are being sold as if the business model itself is broken, in what’s being described – only half-jokingly – as a “SaaS–pocalypse.”
Relative to the broader Nasdaq, the software sector is now underperforming by the widest margin this century – a performance gulf that visually resembles past panic events more than a gradual fundamental decline. The scale and speed of the selloff has pushed investors toward a dramatic conclusion: AI is killing software.
