Software stocks show vulnerability to AI

• AI allows non-developers to build functional software tools, demonstrated by creating a Monday.com-like dashboard in 30 minutes.
• This capability poses a threat to 'low-hanging fruit' enterprise software, leading to a potential re-evaluation of these companies.
• Software for 'systems of record' and security (e.g., CrowdStrike, Palo Alto Networks) is considered less vulnerable to AI replication.
• The market is currently selling off software indiscriminately, but investors will eventually need to distinguish between AI-vulnerable and AI-resilient software names.

The video discusses how AI is enabling non-developers to create functional software tools, potentially disrupting the enterprise software market. The speaker demonstrates building a Monday.com-like dashboard in 30 minutes, highlighting the vulnerability of 'nice-to-have' software to AI. Investors will need to differentiate between 'must-have' and 'nice-to-have' software as AI capabilities advance.