Tech stocks go into free fall as it dawns on traders that AI has the ability to cut revenues across the board | Fortune

    https://fortune.com/2026/02/04/tech-stocks-palantir-anthropic-ai-cut-reduce-revenues/

    Posted by jbochsler

    2 Comments

    1. Paywall bypass: https://archive.is/v3dVs

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    2. God, what utter idiocy on display. These people are empty suits that have zero actual experience with software development and are talking out their asses on AI to hype up their AI stocks.

      >The argument—advanced by Palantir CEO Alex Karp and CTO Shyam Sankar on their recent earnings call—is that AI is now so good at writing or managing enterprise software that it threatens to make irrelevant a range of tech companies that have, for years, enjoyed recurring revenues by providing enterprise apps to companies on a software-as-a-service (SaaS) basis. 

      This is just simply false, Claude Code is getting really good, sure, but there’s no way companies are going to be able to snap their metaphorical fingers and instantly code their own versions of mature enterprise apps. Not without a lot of time and money spent massively reinventing the wheel. Then debugging it when the subtle logic errors AI introduces messes stuff up.

      Pure AI agents aren’t a replacement for enterprise apps either, AI agents make weird, unasked for assumptions and get stuck in very bizarre logic loops, not to mention getting absolute consistency out of them is very hard. As a business you want to be sure a task gets done the same way every time – AI agents cannot do this yet and may never be able to due to the probabilistic nature of LLM inference.

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