Shares of major enterprise software companies surged on Thursday, led by ServiceNow and Salesforce, as market sentiment shifted on the perceived competitive threat from OpenAI.
The rally reflects a broader reassessment of artificial intelligence risks within the software sector, with investors appearing less concerned about immediate disruption from the AI developer.
MarketWatch reported that the weakening of the OpenAI threat narrative was a key driver behind the session's gains for these large-cap tech names.
The price action marks a continuation of the software sector's notable comeback, which has signaled a reversal of the downward trend that had plagued the industry in recent months.
MarketWatch reported that the weakening of the OpenAI threat narrative was a key driver behind the session's gains for these large-cap tech names.
This development builds on a strong recovery trajectory for the sector.
Software stocks closed out May with their strongest monthly performance since 2001, driven by a resurgence in investor confidence and solid results from key players such as Snowflake and Okta.