Excellent interview from CNBC with Rick Sherlund on why enterprise SaaS stocks are down. What we are witnessing is the early stages of a foundational transformation of enterprise software via new AI-Native platforms. Across most business functions Agentic AI is able to reduce the heavily human powered workflows that current enterprise software requires. Remember, most of the leading enterprise software platforms were architected in the early 90s based on architectures that were prevalent then.
Rick also speaks to the power of ecosystems – referencing OpenAI’s rapidly growing App ecosystem as a key competitive advantage over other LLMs – akin to the early days of Microsoft and Oracle building vast application ecosystems and more recently Apple’s app store.
Specifically in the domain of Commerce Marketing DaVinci Commerce has been reinventing how commerce marketing is currently executed by using Agentic AI to do the following:
- Generate dynamic product template ads and content using agents to combine brand elements, brand/retailer compliance requirements etc. and training on past creatives
- Personalize ads and content using agentic AI to automate product and audience combinations
- Orchestrate, Deliver and Optimize ads and content to Convert consumers across paid, owned and AI media platforms
The next 10 years in large enterprises will resemble the early 90s when the first big software boom occurred due to the availability of cheaper compute (HP, Sun etc.) and software development tools from Microsoft and data platforms from Oracle and others – the prior generation was mainframe computers and COBOL code – expensive, slow and only available to a few enterprises. The next 10 years will see a similar boom, this time powered by LLMs, vibecoding, coding assistants and Agentic AI.