- Marc Benioff says AI has created another “SaaSpocalypse,” just like cloud did
- Salesforce has changed direction to become an agent AI platform
- Agentic AI can increase company revenue by 50% in four years
Salesforce CEO Marc Benioff has warned of a “SaaSpocalypse” where traditional software vendors are threatened by AI tools and especially agent AI.
The moment “is not our first” SaaSpocalypse, Benioff said, referencing previous shifts such as the move from on-prem to cloud.
But like the shift to the cloud, vendors who choose to get in on the act and modernize could actually benefit rather than be left behind.
SaaS is now threatened by artificial intelligence, not just the cloud
Speaking of Salesforce in particular, Benioff noted that AI is actually making its platform more valuable by acting as an operating system for AI agents, indicating that AI isn’t killing software as the term ‘SaaSpocalypse’ suggests — it’s just rewriting it, just as it’s rewriting job roles.
But the change has come at a cost, as Salesforce rebuilt itself for the agency era, and many smaller SaaS providers may struggle to turn things around so quickly.
The company has seen significant success from its Agentic Work Units (AWUs), moving away from per-unit billing. seat to instead charge for the tasks performed by its AI agents.
Benioff’s observations came during the company’s latest earnings call, where it was revealed that Salesforce pulled in $11.2 billion in quarterly revenue, up 12% year-over-year, and ended the full year with $41.5 billion in revenue, up 10% from the previous year.
“We’ve retooled Salesforce to become the operating system for the Agentic Enterprise, bringing people and agents together on a trusted platform,” commented Benioff.
Looking ahead, Salesforce has raised its fiscal 2030 revenue target to $63 billion, marking an increase of more than 51%, citing agent AI as a key driver.
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