Accenture and Wolters Kluwer benefit massively from cheaper AI tokens and margin gains as they deploy AI. Their knowledge costs rank among the highest relative to COGS, but regulatory capture, reputation and sticky customers keep revenue broadly intact. Neither shows clear signs of slowing growth; Accenture guided to high-single-digit revenue growth from 2029. Despite enormous terminal-value compression, an unwinding AI-infrastructure trade could bring a sizeable rerating if fundamentals hold. … Show more

IT services firms such as Accenture and Capgemini should benefit because AI makes many marginal use cases economical, raising the number of people needed, and IT services have the bodies. AI does not excuse users from technical expertise such as knowing Diffie-Hellman key exchange or what O(n log n) means. @desmondjywee counters that some giants may burn cash to maintain the illusion of growth while new competitors emerge. x.com 

The 'SaaSpocalypse' narrative is wrong because AI makes replacing enterprise software more expensive, not cheaper, leaving beaten-down SaaS stocks at once-in-a-lifetime entry levels. Replicating ServiceNow would take some 40,000 engineers to match 20 years of code, and even AI coding would raise costs, since tokens are not free and model labs lack the capacity to be enterprises' database layer. LLMs are pattern recognizers that can fail catastrophically on new problems. x.com  x.com 

ServiceNow's AI growth has debunked the "AI destroys software" fear, proving it an AI enabler rather than a victim. AI contract value is beating expectations, with AI revenue on track to clear $1.5B by end-2026 and ramp toward $9B+ by 2030, while subscription revenue compounds at 20%+. Pricing is shifting from seats toward outcomes, retention is best in class, and it pairs tens of billions in revenue with exceptional free cash flow. A deeper Tech Mahindra partnership adds enterprise AI reach. … Show more

Accenture looks undervalued because the market seems to have decided AI kills consulting, while it could be the big winner as companies need AI implemented at scale. Q2 bookings hit a record $22.1B, AI bookings nearly doubled to $2.2B and FCF guidance rose to $10.8-11.5B. It has 85,000 dedicated AI staff, and unlike McKinsey it builds, runs and maintains AI, yet trades at 14x earnings, cheaper than Coca-Cola. This could be very wrong, but it looks interesting at these levels. x.com  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

Oracle is a long-term favorite for its combined AI infrastructure, database and cloud story, and should at least return to its 2025 high by year-end. Software in the near term depends on a recovery in the IGV software ETF, and the market still needs to reconfirm that AI does not only benefit hardware, with software showing signs of strengthening first. x.com 

UiPath, Zeta Global and ServiceNow are discounted because the market treats AI as a pure threat rather than a product accelerator, as it once did with Google, now up 120% this year. They should rerate once investors see that AI makes their products better, faster and more valuable, and that AI still needs real enterprise workflows, data, compliance, automation and execution layers to be useful. x.com 

Large mission-critical software platforms such as Atlassian, Twilio, Salesforce, Workday, ServiceNow and SAP are being lifted by AI, not destroyed by it. Datadog hit an all-time high on AI after Atlassian and Twilio accelerated. They can charge external AI agents a toll to access their systems of record, volume set to grow 100x in 12-24 months; sell their own agents; and expand into areas like security. AI resembles web to mobile, a tailwind for the best companies, though not all SaaS is safe. … Show more

On a three-year AI demand forecast, the picture looks quite different: the same leading group wins 70% of AI workloads, probably more once Cursor and SpaceXAI are counted. That spending comes mainly from monetizing late-majority and laggard buyers. x.com