This is a difficult question to answer, primarily because we just do not know what is going to happen in the future when it comes to seat based SaaS companies. The ones I would look toward are the ones that could easily transition to task-based charging. So for example, a company might have a team of 20 people doing 1000 customer service requests a month. Now, they will need 2 people to do the same 1000 requests because of the assistance of AI. Companies will need to shift to charging per solved ticket, rather than per seat.
Alternatively, the ones who can charge more for AI-based seats can adjust as well. So, an AI agent will cost 10x a human seat.
I am extremely cautious about touching anything outside of the vertical market space right now. Primarily because the space is evolving so fast it makes my head spin. A year ago we got Claude Code, which was very difficult to use but did the job. Then we get Claude Cowork a month ago that virtually anyone can use. Then we get the add-on plugins for legal interpretation etc.
What we will have in 6 months is hard to say.
If I am looking to play the SaaS space on a potential rebound, I'm buying an ETF. Likely IGV. The potential to choose the wrong horse in this race per se is high, and not one I'd be willing to take.
If anyone's answer to "will AI disrupt this software company" is anything other than "I do not know" then they are lying to you. Which is why I'd go the ETF route if you want to take that chance.
The vertical space has a buffer because of the critical nature of the software. But normal SaaS stocks, it's anyone's guess.