The SaaSpocalypse Is Here: AI Just Erased $1 Trillion From Software Stocks
Remember when “AI-powered” was the magic phrase that made stock prices go up? Those days are over. In the first seven weeks of 2026, enterprise software has experienced what might be its worst bloodbath in history. The iShares Expanded Tech-Software Sector ETF (IGV) has plunged over 23% year-to-date, officially entering bear market territory. Salesforce down 28%. ServiceNow down 30%. Adobe’s market cap has cratered from $350 billion to roughly $107 billion. Figma, which IPO’d to fanfare last summer, has collapsed 85% from its 52-week high. ...