NEW YORK, February 3, 2026, 13:23 EST — Regular session
- Salesforce shares dropped roughly 8% in afternoon trading, deepening the selloff hitting software stocks.
- Fresh AI tools are reigniting concerns over pricing power in the subscription software sector
- Investors want evidence that AI capabilities will drive paying customers, not just add expenses
Salesforce shares dropped 7.9%, closing in on $194.24 Tuesday afternoon, after hitting a session low of $193.95. The stock slid $16.57 from Monday’s close and traded between $211.85 and $193.95 during the session.
This matters because Salesforce is a key indicator for corporate software spending and a major player in the Dow Jones Industrial Average. Sharp moves in its stock often sway risk appetite across the software sector, even without fresh earnings reports or filings from Salesforce.
One catalyst in the wider market was Anthropic’s rollout of a legal plug-in for its Claude chatbot. Traders and analysts flagged this as a fresh worry that new AI models could undermine services once considered clear winners. “The software companies were assumed to be winners from AI,” noted Lars Skovgaard. Meanwhile, Giuseppe Sersale from Anthilia cautioned that AI is increasingly capable of handling programming and other complex knowledge work, threatening key parts of the sector’s business. (Reuters)
Salesforce jumped on the AI bandwagon a day before. On Monday, it announced support for Anthropic’s Model Context Protocol apps via new bi-directional extensions in Claude, beginning with Slack. These extensions will funnel Salesforce context into Claude and feed the results back into Salesforce workflows. “Enterprises need more from AI than powerful models,” Nick Johnston wrote in the company post. (Salesforce)
Tuesday’s selloff wasn’t limited to a single stock. A wide drop in software and cloud shares dragged both the S&P 500 and Nasdaq down. Oracle and Adobe fell, while Palantir edged up following its earnings report. “Many areas, especially around AI, are priced for perfection,” noted John Campbell of Allspring Global Investments. (Reuters)
Salesforce’s slide hit the Dow hard. Since the index is price-weighted—a $1 shift in any stock has equal point effect—the combined drops in Salesforce and IBM dragged the gauge down significantly in early numbers, MarketWatch data revealed. (MarketWatch)
At its core, the debate hinges on whether the subscription model can hold up. SaaS relies on steady, recurring fees. But if clients start thinking AI agents can handle more tasks with fewer licenses or lower-cost options, vendors face the threat of slower growth and squeezed prices.
This isn’t a simple trajectory. If companies view the latest AI surge as just a feature upgrade and stick to renewing contracts, the sector’s selloff might evaporate as fast as it came.
Salesforce investors now face key questions: Will new integrations sway purchasing choices? Will AI features start reflecting in billings? And can the company maintain margins amid rising AI expenses?
Salesforce plans to start rolling out its Spring ’26 release on February 23. This update, loaded with new AI, data, and automation features, could provide an early read on customer adoption and how the new packaging fares. (Salesforce)
