This week the entire software industry experienced a nearly $1 trillion selloff in the stock market. It seems investors were concerned that AI is eating software and went on an indiscriminate selling.
Doug O’Laughin wrote an article in July 2025 discussing about software disruption. AI coding tools like Cursor and Claude Code, which automate complex, routine tasks, are slashing software creation costs, mirroring how YouTube disrupted linear TV. As software supply explodes, traditional SaaS moats and high margins will vanish. Value is shifting from commoditized code back to the physical scarcity of hardware.
Do you think this software disruption real and justified or overreaching?
