Will SaaS Survive the AI Shockwave?
SaaS faces an existential threat from generative and agentic AI, according to Forrester’s CEO. These new systems can think and transact autonomously, disrupting core business models. Examples like Klarna—which claims to have eliminated over 1,200 external SaaS tools using AI—show this shift is causing massive cost-cutting and alarming capital markets invested in traditional SaaS.
The risk is amplified by architectural obsolescence, as many SaaS platforms are messy, bolted-on systems. Analyst reports confirm pre-ChatGPT vendors are rapidly churning out of the market as autonomous agents replace the need for seats. This directly attacks the high margins and per-seat pricing that sustained the SaaS era, making systems both cheaper and simpler.
Experts now advise clients to slow big SaaS commitments. The convergence of capital reallocation, architectural obsolescence, and the breakdown of pricing suggests SaaS's high-growth moment has passed. To get the full argument for why AI agents will collapse costs and upend the software industry—and to find the counter-argument—download the complete article PDF now.