AI-eating software narrative seems to be back in full effect in the market right now.
Morgan
Steve Pagliuca
There's some truth to AI impacting software, but markets are probably overreacting. Software-as-a-Service has high retention rates and some valuations were very high to begin with.
How does the AI software valuation issue play out in private markets?
Morgan
Steve Pagliuca
Public private equity firms like Blackstone and Carlyle have diversified portfolios and are doing well, so their drop is likely an overreaction.
Does this force reconsideration of exit strategies for PE-held software companies?
Morgan
Steve Pagliuca
It might slow exits, but companies can incorporate AI and make a comeback.
Comparisons to 1990s bubble - do you think this is that?
Morgan
Steve Pagliuca
This is very different from 1999 bubble. Large companies with billions in cash are spending because AI is existential, not speculative venture capital.
What does AI disruption mean for biotech?
Morgan
Steve Pagliuca
Biotech will benefit greatly from AI and quantum computing, leading to breakthroughs in cancer treatments and health.
When will we realize full potential of AI in drug discovery?
Morgan
Steve Pagliuca
Already starting to take root, will take 3-10 years to come to full force.
What does this mean for drug prices?
Morgan
Steve Pagliuca
Should lower costs dramatically by shortening development cycles.
What are you hearing about geopolitical disruption and decoupling at the World Government Summit?
Morgan
Steve Pagliuca
Countries are looking at decoupling from global trade for strategic items like chips and lithium.
How do you assess sports valuations marketplace?
Morgan
Steve Pagliuca
Sports valuations have exploded due to globalization through technology and streaming.