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[return to "Why software stocks are getting pummelled"]
1. latefo+G02[view] [source] 2026-02-02 19:39:18
>>peteth+(OP)
> The fear is that these [AI] tools are allowing companies to create much of the software they need themselves.

AI-generated code still requires software engineers to build, test, debug, deploy, secure, monitor, be on-call, support, handle incidents, and so on. That's very expensive. It is much cheaper to pay a small monthly fee to a SaaS company.

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2. Spooky+zo2[view] [source] 2026-02-02 21:21:24
>>latefo+G02
Lol. ServiceNow, Oracle, Workday, etc are not small monthly fees. That's what the market is shitting on. (Oracle is different, given the corruption and OpenAI grift angle.)

My buddy works for a company like these. He landed a $5M contract last year, which netted him almost $800k. There's alot of fat to be cooked out of this stuff, and AI will help smaller entrants attack those margins.

AI-based startups like Vanta make it much easier for companies to meet the compliance bullshit the large companies require. Again, it will drive more competition == better values for customers.

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