Many Companies Face Bankruptcy Threat, Rp2.500 Trillion Man Speaks Out
Jakarta — Concerns over artificial intelligence (AI) technology development threaten to render software companies irrelevant and potentially bankrupt.
These concerns have intensified following controversial remarks by Anthropic CEO Dario Amodei, who stated that AI is already capable of replacing software engineer roles and even displacing current software functions entirely.
This immediately triggered a sharp sell-off in software sector stocks. However, Nvidia CEO Jensen Huang dismissed such fears.
“I think the market has misjudged the situation,” said the billionaire with wealth valued at Rp2.500 trillion, according to CNBC International on Sunday (27 February 2026).
According to Huang, most companies will adopt agent-based AI to develop their own software and enhance efficiency.
He emphasised that AI agents will not replace software but rather strengthen its functionality. “That’s why we say agents are tool users,” he stated.
Tools that AI agents will utilise include web browsers and Microsoft Excel. He claimed this usage would make humans significantly more productive.
“Ultimately we need tools to help complete their work and present information back in ways that can be understood,” Huang said.
Meanwhile, various investors have begun voicing concerns about escalating AI investment expenditure. They have highlighted the possibility of emerging “AI bubbles” that could burst unexpectedly.
In contrast, software service provider stocks have experienced sharp declines over recent months. Perspectives on this matter and fundamental reasons for sell-offs have split into two camps.
Dan Niles, founder and portfolio manager of Nile Investment Management, warned that not all companies will escape AI threats.
He noted that AI will automate workflows, suppress pricing, and lower barriers for new competitors entering the market.
For software companies specifically, he suggested that some will indeed face bankruptcy. For the most resilient players, he anticipated they would emerge from the database and cybersecurity sectors.
“Some software companies will go bankrupt,” said Niles.