Bridgewater Flags AI Threat to Software Firms

Bridgewater Associates warned AI, via Claude Code, threatens legacy software firms, likening to Amazon's disruption of bookstores.
S&P 500 Software & Services Index down 16.6% YTD; Salesforce, Adobe, ServiceNow, Intuit, HubSpot fell 30‑41% each.
Bridgewater noted rising layoffs across tech and finance as firms cut thousands of jobs citing AI-driven cost savings.
The note also flagged geopolitical tensions in Venezuela, Greenland, Iran and muted Strait of Hormuz shipping, sustaining commodity shock and inflation risk.