Summary of Key Points
Yesterday, the stock price of Salesforce, a leading SaaS company, rose by 22% in a single day, which may indicate that the SaaS industry is on the verge of a significant turning point. There were concerns that large models would overshadow SaaS, but it has become clear that there is a clear distinction between the two: large models require business data (such as customer information and purchasing rules) provided by SaaS platforms to integrate into core business processes, and the software infrastructure and accumulated data of SaaS companies serve as an irreplaceable competitive advantage. SaaS companies with a solid foundation (such as Salesforce and Snowflake) can collaborate with large models to create new opportunities, while those without will be at a disadvantage and may be marginalized.
1. Salesforce’s 22% Rise: Two Key Drivers
Salesforce’s significant increase was not random; it reflects two key market signals:
- Outstanding Performance with AI as a Growth Driver: The financial report highlighted impressive figures: a 87% increase in net profit ($3.53 billion), future revenue targets (cRPO) of $33.5 billion (14% year-over-year, exceeding analyst expectations), and annual revenue from AI-related products (Agentforce and Data360) of nearly $3.9 billion (210% year-over-year). This shows that AI is not competing with SaaS but rather helping Salesforce generate more revenue.
- Cooperation with Large Model Companies: Salesforce has partnered with Anthropic to launch “Claudeforce,” combining Claude’s AI capabilities with Salesforce’s CRM data (customer opportunities and visit records). Managers believe this collaboration will benefit both parties, dispelling fears that large models will replace SaaS.
2. The Clear Boundary Between Large Models and SaaS: Partners, Not Rivals
Previously, there was a pessimistic view that as large models advanced, SaaS would retreat. However, the situation has changed:
- Large Models Cannot Access Core Business Processes: For example, to provide advice on urgent orders, large models need access to business context (inventory, production capacity, and priority order policies) which is only available in SaaS systems.
- Large Model Companies Recognize Their Limits: OpenAI has stated that it aims to create a platform to provide AI capabilities rather than develop all products itself, indicating a willingness to collaborate with SaaS companies.
3. The Real Competitive Advantage of SaaS: Its Software Infrastructure
While many SaaS companies are transitioning to incorporate AI, the true advantage lies in their software infrastructure and accumulated data. Here are two examples:
- Positive Case: Snowflake: This data SaaS company’s stock price has risen by 70% in the past year. Its AI tool, Cortex Code, outperforms Claude and Codex because its infrastructure includes table structures, business logic, and data permissions, allowing AI to understand business context effectively.
- Negative Case: Medallia: A leading customer experience SaaS company faced a $5 billion loss due to debt restructuring. Its AI capabilities (text classification, sentiment analysis) were easily surpassed by large models because it lacked the necessary infrastructure. Without a solid foundation, even advanced AI is ineffective.
4. The Importance of Business Context
The real differentiator between SaaS and AI-based tools is the ability to understand business context. For example, an intelligent assistant that can access DingTalk files but lacks knowledge of company procurement rules and departmental responsibilities cannot perform effective tasks. Tools that deeply integrate with existing systems (like Qianwen Office) have a better future, while those that rely solely on technical capabilities are more vulnerable to replacement.
5. Is the SaaS Golden Age Back? It Depends on the Foundation
Salesforce’s success does not mean all SaaS companies will thrive. There are two scenarios:
- Companies with a Solid Foundation (Salesforce, Snowflake): For them, the golden age has indeed arrived. Large models will collaborate to expand the market, rather than competing for market share.
- Companies without a Foundation: Those that blindly transition to AI or abandon their existing software will face challenges. As large models evolve, they may be marginalized or eliminated.
In summary, while large models may impact some SaaS tools, companies with a solid software foundation will embrace a new golden age. The key to success in the SaaS industry is a robust technical base that enables collaboration with large models to create value for businesses. This is easy to understand: just like a restaurant, the software infrastructure (the “unique recipe and customer database”) is essential for profitability. Without it, even the best tools are useless.