Salesforce CEO Marc Benioff has rejected growing fears that artificial intelligence could undermine the traditional software-as-a-service industry, noting that the latest generation of AI models depends on enterprise software platforms rather than replacing them.

“This SaaSpocalypse narrative has been such nonsense,” Benioff told CNBC’s Jim Cramer on Wednesday. “Frontier models depend on CRM. They don’t replace it.”

The comments came after Salesforce shares surged more than 12% in after-hours trading following a stronger-than-expected quarterly report and an upbeat outlook from the enterprise software company.

The rally offered a sharp reversal for Salesforce, whose shares had fallen 22% through Wednesday’s close as investors questioned whether increasingly capable AI systems could disrupt the business model of traditional software providers.

The so-called “SaaSpocalypse” debate has centered on the possibility that companies will need fewer software subscriptions as AI agents become capable of performing tasks that previously required multiple applications. Investors have also worried that businesses could use AI to build their own software rather than purchase products from established vendors.

Benioff said that developments inside the AI industry are instead demonstrating the importance of Salesforce’s software, particularly the customer data and business processes stored on its platform. According to him, nine of the 10 leading AI companies use Salesforce and Slack, with their spending on the platforms increasing 435% from a year earlier.

The figure is seen as an indication that some of the companies developing technologies viewed as potential disruptors of enterprise software are themselves heavy users of the software infrastructure they could theoretically displace.

Salesforce provides customer relationship management software used by companies to manage sales, customer interactions and other business processes. It also owns Slack, the workplace communications platform, and Tableau, a data analytics company.

Benioff said the company’s role is evolving as businesses deploy AI agents. Rather than competing directly with AI models, Salesforce wants to become the enterprise data and workflow layer through which those models operate.

“Salesforce is first and foremost in the data business,” Benioff said. “These AI models need this level of intelligence, security and controls for users.”

The company provided a fresh example of that strategy Wednesday through an expanded partnership with Anthropic. Salesforce and Anthropic unveiled “Claudeforce,” a plugin that allows sales employees to use Anthropic’s Claude AI to access customer information stored in Salesforce and perform tasks including drafting emails and updating records.

The integration underpins the distinction Benioff is pointing at between AI models and enterprise applications. Claude can provide the reasoning and automation, but the underlying customer information, permissions, workflows and business context remain within Salesforce.

That architecture is expected to become more useful as companies move from using AI primarily as a conversational tool toward deploying autonomous agents capable of carrying out multi-step business processes.

For Salesforce, the opportunity is to capture value from that transition without having to build the underlying frontier AI model itself.

The strategy also addresses one of the biggest concerns investors have raised about the company’s business. If AI agents can execute tasks more efficiently, customers could theoretically reduce the number of traditional software seats they purchase. But if agents instead require greater access to enterprise data, workflow systems and security controls, AI adoption could increase the strategic importance of platforms such as Salesforce.

Benioff’s comments suggest the company believes the second scenario is emerging.

The latest results arrive at an important point for the broader software sector. Salesforce is one of the largest established SaaS companies and has become a major test of whether generative AI will primarily disrupt incumbent software vendors or strengthen their position as repositories of proprietary enterprise data.

The market’s initial reaction suggests investors found the company’s latest performance reassuring.

Salesforce’s growing relationship with Anthropic is part of that effort. By allowing Claude to operate within its data environment, the partnership positions Salesforce as infrastructure for AI agents rather than merely another application vulnerable to them. That is central to Benioff’s argument that the more capable AI models become, the more valuable the trusted data, permissions, security, and business context surrounding those models could become.

Many believe the challenge now is proving that thesis in Salesforce’s financial results.

Apple is set to hold its next major product launch on Sept. 9, with the company expected to unveil its latest iPhone lineup and potentially introduce its first foldable iPhone in a move that could open a new chapter for its flagship product.

The event would be closely watched by investors because a foldable iPhone could give Apple a new avenue to raise average selling prices and expand margins at a time when rising component costs are putting pressure on the broader consumer electronics industry.

Analysts expect the foldable model to sit at the top end of Apple’s smartphone range, with a display roughly comparable in size to an iPad mini when unfolded. The premium positioning could allow Apple to capture more revenue per device while targeting consumers willing to pay for a larger screen in a more compact form factor.

The launch would also be significant for Apple’s leadership transition. John Ternus, the company’s longtime hardware chief, is scheduled to become CEO on Sept. 1, replacing Tim Cook, who will become executive chairman. Ternus’ first major product event as CEO would therefore place Apple’s hardware strategy under renewed scrutiny.

Apple announced Ternus’ appointment in April. His elevation was widely viewed as a signal that the company intends to build further on its core hardware business, an area where Apple has historically generated substantial revenue and customer loyalty.

The foldable market remains relatively small but is becoming increasingly competitive. Samsung Electronics currently dominates the category, having spent years developing foldable devices and building a product portfolio around the technology.

Apple’s entry could materially change the market. The company has repeatedly waited for emerging device categories to mature before entering them, then used its scale, supply chain and ecosystem to target mass-market adoption.

Research firm IDC expects Apple to ship more than 17 million foldable iPhones by 2027. IDC also expects global foldable smartphone shipments to rise 12.6% this year, even as overall smartphone shipments are forecast to decline 16.7%.

That highlights why foldables are attracting attention from manufacturers. The category offers a potential source of growth in an otherwise challenging smartphone market, particularly as consumers hold onto devices for longer and component costs rise.

The timing is of the essence for Apple because the electronics industry is dealing with a severe shortage of memory and storage chips. The supply constraints have pushed component prices higher and prompted manufacturers to raise prices across several product categories. Apple has already increased prices for some Mac and iPad models to offset higher costs. The company warned in July that it was facing “very significant” supply-chain shortages and expected those constraints to weigh on sales during the current quarter.

A foldable iPhone could help Apple counter some of that pressure by shifting its product mix toward higher-priced devices. The approach would be consistent with Apple’s broader effort to increase revenue from premium hardware and services rather than relying solely on unit growth.

Samsung, meanwhile, has been strengthening its position ahead of Apple’s expected entry. Earlier this year, the South Korean company introduced a new passport-sized foldable phone as it sought to maintain its lead in the category.

The competition could become more intense once Apple enters the market because the two companies have long competed at the high end of the global smartphone industry. Samsung has the advantage of years of foldable experience, while Apple would bring its large installed base and tightly integrated hardware and software ecosystem.

The launch also comes after a strong upgrade cycle following last year’s iPhone release. Apple introduced a slimmer iPhone Air and upgraded the base iPhone 17 models, helping drive consumer demand. The next challenge will be whether Apple can generate a similar upgrade cycle while persuading consumers to pay a substantial premium for a fundamentally different form factor.

The Sept. 9 event could mark the company’s entry into a category that has so far been dominated by Samsung, while giving incoming CEO Ternus an opportunity to establish his leadership and potentially providing Apple with a new source of premium hardware growth.