Software stocks in Europe fall on concerns over AI pitfalls
MILAN, Aug 12 (Reuters) - Software stocks in Europe fell sharply on Tuesday, with heavyweight SAP SAPG.DE sliding more than 6% amid concerns over the risks that artificial intelligence could pose to this part of the technology sector.
SAP was briefly set for its biggest one-day drop since October 2020 and was last down 5.5%. Meanwhile, Dassault Systemes DAST.PA, Sage SGE.L and Nemetschek NEKG.DE fell between 4% and 10%, making tech .SX8P the worst-performing sector in Europe.
One trader said the selloff mirrored declines among U.S. peers such as Adobe ADBE.O, Salesforce CRM.N, Intuit INTU.O and Workday WDAY.O on Monday, following a MarketWatch article that looked into the potential impact of AI on software companies, in particular.
On Monday, Melius Research downgraded Adobe to sell.
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