The rapid advancement of AI, particularly with the release of GPT-5, raises significant concerns among investors and tech executives regarding the future of software. The ability of AI to generate code autonomously threatens to diminish the value of traditional software, indicated by the stock price declines of companies like Snowflake and Datadog following the launch of GPT-5. Executives, including Mark Zuckerberg of Meta, project that AI could compete with mid-level engineers by 2025, prompting cautious strategies in the software industry.
D.A. Davidson's Gil Luria has been asking if the release of GPT-5 signaled the end of software as we know it. He pointed to the sharp decline in stock prices of software companies such as Snowflake and Datadog the day after GPT-5's release as 'curious.'
According to the CEO of Meta, Mark Zuckerberg, AI agents could rival mid-level engineers in coding and problem-solving by 2025. Broadcom CEO Hock Tan reportedly ceased acquiring new software firms due to concerns over the devaluation of their long-term worth due to AI.
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