FactSet risks having its app usage automated from outside and becoming unmonetizable as AI agents operate it directly. Its MCP integration was a huge advance and a growth driver, worth perhaps a 20% subscription uplift, but OpenAI's computer use worked well on a regular desktop session, if much slower, and simply noted the FactSet subscription to use when needed. SaaS bear points from earlier this year are materializing quickly. x.com  x.com 

Salesforce's reported shift from per-seat to outcome-based pricing, per David Faber on CNBC, supports the case for AI-native software. Moving to outcome-based fees lets software makers that tell an AI-native story benefit from AI rather than be disintermediated by it. ServiceNow is the favorite for the new model, Snowflake should do especially well, and Microsoft also fits the theme. x.com 

US software is the category most exposed to AI app builders like Replit, with $100K CRMs getting rebuilt for $200, which puts it on the do-not-own list. The trade is energy and bottleneck infrastructure, not software. x.com 

Salesforce's poor M&A is literally half the reason its multiple stays low. Slack and Informatica are cited as examples, with Braze raised as a question; AI making Tableau obsolete in a few years would be a separate risk, not itself poor M&A. x.com 

Salesforce's strong free cash flow and healthy balance sheet support its setup as enterprise AI adoption, Agentforce and AI-driven workflow automation advance. Its earnings gap on four times average volume has been followed by a tightening formation. x.com  x.com 

Hardware is squeezing software as enterprises redirect budgets to scarce servers, GPUs and storage, favoring semiconductors over software. IBM's Q2 revenue of $17.2B missed its $17.9B target, and its CEO said clients moved software and IT consulting budgets to secure rising-priced hardware. Microsoft, ServiceNow and Salesforce face near-term pressure while Dell and Micron benefit. Aehr Test's beat and raised guidance counter claims the chip cycle is dead. x.com 

Bloomberg Intelligence sees fragmented enterprise-software markets as runway for large vendors to buy share, enter adjacent areas and strengthen AI, data and platforms. Serious software M&A is expected: Guidewire's $1.7B purchase of hyperexponential adds another deal after Salesforce's acquisition of Braze, which opened the gates. x.com  x.com 

These software names get stronger as AI grows, despite the early-2026 "AI will kill SaaS" sell-off. ServiceNow is becoming the control room that manages companies' AI agents. Salesforce's Agentforce brings in $1.2B a year and is tripling; Atlassian clients using Rovo spend twice as much; Adobe's business-safe Firefly earns $250M; Workday's agents bring nearly $500M. SAP and Snowflake hold the data AI needs, and Datadog monitors the extra systems AI creates, with the AI wave still early. x.com  … Show more

Adobe, Salesforce and ServiceNow still generate massive cash flow, push deeper into AI and sit at the center of enterprise operations. Three of the biggest SaaS names remain beaten up in 2026; their valuations have been crushed, but the long-term opportunity may not have been. The market has swung way too far against them. x.com 

AI is forcing a repricing of the enterprise software business model, and for ServiceNow and SAP the reset is not finished. Claude Managed Agents eased production AI deployment, ServiceNow's AI bundling raised monetization questions, and SAP warned of short-term pain like its cloud-migration margin squeeze. Multiples compress before new economics are understood, and most software still trades at a premium on GAAP P/E and EV/FCF ex-stock comp. Workday at 1.7x revenue hints at a floor. x.com