An Anthropic executive says AI progress is giving SaaS a wake-up call: 'We're grappling with exponentials'

As the stock market reacts sharply to fears that AI startups might disrupt traditional software companies, an executive from Anthropic sheds light on the underlying reasons for this sell-off. Cat de Jong, the head of applied AI at Anthropic, expressed during a press briefing with Thomson Reuters that the market's response reflects the rapid advancements in artificial intelligence. De Jong emphasized the astonishing pace of change in the AI landscape, stating, "The rate of change is just so incredible, and I think the market is really starting to see this now." She noted that the industry is currently grappling with exponential growth, which can be overwhelming for many. This rapid evolution has led to a significant market correction in software stocks, a trend that de Jong believes is justified. Despite the tumultuous market, de Jong clarified that Anthropic's collaboration with software companies is designed to enhance their products, not to compete with them. "We want to build the best models in the world," she asserted. De Jong believes that there is a valuable synergy between general AI models and specialized applications, enhancing the capabilities of software solutions. The downturn in software stocks was notably influenced by Anthropic's recent introduction of new plugins tailored for legal and other specialized fields, traditionally held by established software firms. Thomson Reuters, which has recently experienced a significant drop in its stock price—over 30% in the past month—has begun integrating Anthropic's AI into its latest legal tools. During the conference, executives from Thomson Reuters expressed optimism about their partnership with Anthropic. They highlighted their joint effort to develop an advanced feature within their legal product, CoCounsel, which generates comprehensive, citation-backed reports. David Wong, the chief product officer at Thomson Reuters, dismissed the notion of a winner-takes-all environment in AI, emphasizing that numerous challenges remain that professionals require assistance with.