Jensen Huang said investors have overreacted to fears that artificial intelligence will gut the software industry, arguing instead that AI agents will rely on existing tools rather than replace them.
“I think the markets got it wrong,” Huang said in a television interview Wednesday, hours after Nvidia posted stronger-than-expected earnings and issued upbeat guidance driven by AI demand.
Some investors have worried that AI-powered agents could cannibalize enterprise software by automating core tasks. Huang rejected that idea. He said agentic AI systems function as “tool users” that operate inside established platforms such as Microsoft Excel and other enterprise applications. Rather than eliminating software vendors, he argued, AI will make their products more valuable and more widely used.
He pointed to companies including ServiceNow and SAP, saying specialized firms will continue to build optimized tools while AI agents help customers use them more efficiently.
Nvidia’s latest results reinforced that optimism. Quarterly revenue surged 73% from a year earlier, and the company forecast another strong quarter ahead. The numbers eased concerns that spending on AI hardware had peaked.
Still, not everyone agrees that software companies will escape disruption. Some analysts warn that automation could pressure margins and push weaker firms out of the market.
Nvidia shares rose in extended trading following the report, while software stocks showed mixed reactions. Huang’s message was clear: AI may reshape workflows, but it won’t erase the need for the tools businesses already depend on.
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