Nvidia CEO dismisses fears of AI replacing tools, insists on their importance at Cisco event. Market less concerned, sees software companies at risk with AI advancements. Anthropic’s AI debut sparks software rout, causing major tech stock crashes. Software index falls 5% with 104 decliners, 9 risers.

Thomson Reuters, Legalzoom.com, PayPal, and more crash double digits due to AI concerns. Deutsche Bank strategist notes market shift towards AI differentiation and disruption. Model builders like Anthropic aim to render software companies obsolete. Software stocks face ongoing reality check with uncertain future.

Evercore analyst suggests bearish narrative for software sector amid AI releases. Market anticipates software downturns but expects outperformance post-bottom. Legacy companies struggle to compete with agile model builders in AI space. Uncertainty remains on sentiments, no clear solution for shifting market perception.

Read more at Yahoo Finance: Why the AI driven software stock crash probably isn’t over