Market Insight: The Path To Surviving AI Disruption For Enterprise SaaS

Executive Summary

Increasing AI capabilities, accessible development tools and the availability of powerful generalist AI agent platforms are altering the competitive environment for enterprise Software as a Service (SaaS) firms. Corporate buyers feel empowered to develop software in-house, aided by tools such as Cursor, or enticed by a new wave of innovative AI-first applications. Long-term software vendor success now requires a thoughtful and executable AI strategy. This report identifies and proposes enterprise SaaS strategies to maintain or grow market share, as AI alters the underlying market conditions. It examines how incumbents can maintain a defensible long-term value proposition by focusing on verticalized solutions that ensure deep system compatibility and entrench product differentiation. Based on an analysis of global survey data, proprietary market research and vendor briefings, the report provides guidance to C-Suite decision-makers and IT leaders at enterprise software firms who are progressively incorporating AI into their solutions and preparing their roadmaps for 2026.