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Real software still has major advantages that AI, and AI agents, are unlikely to replace anytime soon. Users already know how to navigate it; they know where to find what they need, and the learning curve is largely behind them. IT departments have worked through the challenges of cybersecurity, integration, and permissions. Management understands the cost structure and can budget for it reliably. And of course, the salesperson still knows exactly who to call for a golf game.

That said, AI will likely slow the growth of software companies. The argument for additional seat licenses becomes weaker when AI agents can sit on top of existing tools and handle part of the workload. Modern AI also makes it possible for organizations to rapidly build reliable internal applications in ways that weren’t possible before, which further erodes the traditional growth prospects of software vendors.

So don’t give up your software, it’s going to be around for a long while yet.