Salesforce Soars as AI Fears Fade with Strong Quarterly Results

Salesforce shares surged on Thursday after the company's quarterly results alleviated investors' concerns about the impact of artificial intelligence (AI) on its business model.

CEO Marc Benioff dismissed the notion that AI would reduce demand for software sold on a subscription basis, calling it 'nonsense' and saying it has not come true for Salesforce.

The company's revenue rose 11% year over year to $11.3 billion in its fiscal 2027 second quarter, with AI-driven products contributing significantly to growth.

Salesforce is partnering with Anthropic to launch Claudeforce, which combines the reasoning of Anthropic's Claude models with Salesforce's data security and business workflows.