The article analyzes the significant drop in vertical software valuations, highlighting that while investors fear AI will disrupt certain software categories, companies with strong market positions like Veeva and AppFolio are undervalued due to slower growth rates. In contrast, fast-growing sectors like data infrastructure and security are thriving as AI reshapes operational demands.

The article discusses the need to abandon outdated strategies in favor of innovative approaches that better align with current market dynamics and consumer behavior. It emphasizes the importance of adaptability and forward-thinking in achieving sustainable growth and success.