- Marc Benioff says AI has created another ‘SaaSpocalypse’, just like the cloud did
- Salesforce has changed direction to become an agent AI platform
- Agent AI could increase company revenue by 50% in four years
Salesforce CEO Marc Benioff has warned of a “SaaSpocalypse,” in which traditional software vendors are threatened by AI tools and, in particular, agent AI.
This moment is “not our first” SaaSpocalypse, Benioff said, referencing previous changes such as the move from on-premises to the cloud.
However, as with the move to the cloud, providers that decide to get in on the action and modernize could benefit rather than be left behind.
SaaS is now threatened by AI, 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 is not killing software as the term ‘SaaSpocalypse’ suggests, just rewriting it, much like it is rewriting job roles.
But the change has come at a cost, because Salesforce was rebuilt for the agent era and many smaller SaaS providers may struggle to change things so quickly.
The company has seen considerable success with its Agent Work Units (AWU), moving away from per-position billing to charging for the tasks its AI agents complete.
Benioff’s remarks came during the company’s most recent earnings call, where it was revealed that Salesforce brought in $11.2 billion in quarterly revenue, up 12% year over year, closing the full year with $41.5 billion in revenue, up 10% from the previous year.
“We’ve rebuilt Salesforce into the operating system for Agentic Enterprise, bringing humans and agents together on one trusted platform,” Benioff said.
Looking ahead, Salesforce has raised its fiscal 2030 revenue target to $63 billion, representing an increase of more than 51%, citing agent AI as a key driver.
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