Asks about software market carnage - whether it's sentiment or fundamental issue with software.
Host
Holden Spaht
Sees great opportunity in AI world; public markets not discerning between software companies; loves how values are trending; thinks this could be exceptional buying opportunity.
Asks what they look for in attractive opportunities amid carnage.
Host
Holden Spaht
Quality of revenue (high renewal rates) is key; companies with deep domain knowledge, complex integrations, transactional systems with low error tolerance index well in AI world.
Asks where they find value - public companies sold off or private markets.
Host
Holden Spaht
Seeing both public and private opportunities; public reacts quicker; risk-off investors diversifying out of software creates opportunities.
Asks about threat from foundational AI models (OpenAI, Anthropic) disrupting software.
Host
Holden Spaht
AI model companies great at data science but not at understanding specific enterprise business processes; combination of domain knowledge and AI is key.
Asks about 'vibe coding' narrative - someone creating cheaper internal versions of software like Dayforce.
Host
Holden Spaht
Nobody is vibe coding Dayforce - too complex with payroll, withholding taxes globally; needs auditing, correctness, real-time operation.
Asks about legacy software in portfolio that might not be AI-ready and any disruptions.
Host
Holden Spaht
Haven't seen disruptions; 95% of companies index well in AI world due to starting with quality of revenue.
Asks about narrative that companies will spend less on enterprise software as budgets shift to AI.
Host
Holden Spaht
AI is software, software is AI; recent results show acceleration - median bookings growth 22% YoY, higher than revenue growth.
Asks about flood of AI product announcements from companies like Anthropic.
Host
Holden Spaht
Keep coming back to marriage of domain knowledge and enterprise business process; companies with 96-97% renewal rates where calculations must be correct are defensible.
Asks about CEO confidence from recent portfolio company summit.
Host
Holden Spaht
Sentiment was great; companies performing well; should be acquisitive and take advantage of this moment rather than worry about market.