The once relentless rally in AI-fueled stocks has lost momentum, as investors confront the unsettling idea that advances in artificial intelligence could erode the very value propositions that made tech giants dominant in the first place. Yet some executives and market veterans warn against short-term panic, calling the selloff a rare opportunity to buy into the next phase of the AI boom.
But not all investors are convinced these companies are destined for irrelevance. Hidden within the chaos could lie an undervalued chance to buy these tech stocks at a discount, a relative rarity in an age of soaring valuations and speculative growth. It all depends on whether bullish buyers consider AI as complementary to existing software services, or capable enough to replace them entirely.
Ives named three industry leaders that he sees as being unfairly punished in today’s market, and that could be in for a powerful rebound:
Ives called the software stock correction a “structural selloff” that was the largest in scale he’d seen in 25 years. But instead of spelling doom for these companies, he framed the wipeout as a once-in-a-lifetime opportunity to invest in enterprise technology, arguing that software developers will remain a “core part of the use cases,” even in an AI-powered future.
“AI is only a bubble in the sense that not all these valuations will end up going up. Some of them will go down,” he said.
