In the age of AI, not all software companies will benefit.
Some will become stronger, while others may face extinction.
What stands out in the graphic is:
🟢 The two areas that will benefit the most:
- Security
- Systems of Record
Why is that?
As AI becomes more powerful, businesses increasingly need:
- Data security
- Access control
- Core databases
- Fundamental systems
AI can replace processes, but it’s tough to replace the “underlying infrastructure.”
So, security firms, database companies, and ERP providers are likely to see a surge in demand thanks to AI.
However, the real danger lies with these two categories:
đź”´ Point Solutions
đź”´ Developer Tools
The reason is straightforward:
AI is “swallowing functionality.”
In the past, companies had to purchase a suite of SaaS solutions; now, an AI agent can replace entire workflows.
Previously, the software industry competed on “feature quantity.”
In the future, it will be all about “intelligent capability.”
That’s why we see more developers shifting from “using software” to “calling model APIs to build their own workflows.”
The essence of many AI products is no longer SaaS.
Instead, it’s:
“Models + APIs + Agents.”
Platforms like GPTProto have been growing rapidly recently, primarily because:
What developers need now is not just software.
Instead, they seek:
Infrastructure that can quickly integrate multiple models, offer low-cost access, and allow for rapid AI workflow development.
AI isn’t just adding a chat box to SaaS.
It’s redefining what we mean by “software.” 👀

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