Is the peak AI hype the beginning of a massive decline for the old enterprise software names?
u/Plus_Seesaw2023 ·
Reddit — r/ValueInvesting
· February 23, 2026 at 16:33
· ⬆ 59 pts
· 💬 85 comments
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AI Summary
Summary
The post questions whether the rise of AI is fundamentally undermining the business models ("moats") of established enterprise software and consulting companies, leading to a significant and potentially permanent decline in their stock values.
The author's thesis is that AI-native tools and automation could replace the core functions of these incumbents, such as consulting (Accenture), CRM (Salesforce), and software development (Oracle, Adobe), justifying the recent sharp sell-off.
Quality assessment: This is speculation. The author observes a market trend (a sharp sell-off in tech) and posits a narrative (AI disruption) to explain it, without providing fundamental analysis, data, or evidence to support the causal link. The post is a high-level, fear-driven question rather than well-researched due diligence.
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I’m looking at:
* Accenture (ACN)
* Adobe (ADBE)
* Salesforce (CRM)
* Oracle (ORCL)
* ServiceNow (NOW)
* Microsoft (MSFT)
And also:
* IBM
* Intuit (INTU)
* Snowflake (SNOW)
* Autodesk (ADSK)
Most of them are down 30% or more in just a few weeks. Even MSFT is rolling over.
Yes, they had a huge run over the last two years. Valuations were stretched. You could argue it was a full bubble.
But now the selling is accelerating. Heavy volume. No real bounces. It feels different from a normal pullback.
So the question is simple:
Is AI structurally destroying the moat of these incumbents?
If AI reduces the need for consultants, implementation teams, layers of enterprise software… what happens to ACN? To CRM? To NOW?
If coding gets automated, what happens to ORCL, ADBE, ADSK?
If AI-native tools rebuild workflows from scratch, what happens to the whole legacy SaaS stack?
OpenAI and its CEO are destroying these stocks... and me along with them, haha.