Software stocks continue to fall as concerns about AI disruption weigh on them, while chip stocks continue to rise.

Software stocks continued to decline on Friday, extending their recent weak performance. The reason is that investors continue to worry about the disruptive impact of powerful new artificial intelligence models. iShares' expanded technology software industry ETF fell by 2.8%, with a cumulative decline of over 7% in three trading days. Among individual stocks, Cloudflare fell by 11%, Palo Alto Networks by 7.2%, ServiceNow by 8.5%, Datadog by 4.8%, RingCentral by 7.9%, HubSpot by 6.8%, Crowdstrike by 4.5%, Palantir by 2.6%, and Zscaler by 3.4%.