Software stocks entered a bear market last week. The latest bout of selling was brought on by Anthropic's unveiling of a new plugin for its Cowork agent.

NEW YORK, Feb 5 (Reuters) - Wall Street's "Software-mageddon" has been snowballing. Now investors are debating whether it is time to warm up to the beaten-down stocks. The fallout for the software industry,

Cloud software stocks have been big winners on the market historically, but lately, one of the surest bets in investing over the last decade has gone belly up.

Nvidia CEO Jensen Huang dismissed fears that AI will replace software as tech stocks were rattled by new tools from Anthropic this week.

Some of the wealthiest software executives in the US have reportedly lost a combined $62 billion this year as fears grow that artificial intelligence could gut the industry’s most profitable businesses.

Having skin in the game has never hurt so much, at least for some of the software industry’s wealthy founders and executives. This month’s selloff in software has shaved billions of dollars from the value of the shares held by Oracle Chairman Larry Ellison and AppLovin CEO Adam Foroughi.

After falling 26% in three months, Microsoft looks oversold.

Software stocks are thought to be facing an existential threat from the rise of AI, and Bitcoin, noted one analyst, is just open-source software.