Palantir's co-founder just told the world what no one in Silicon Valley wants to hear. It's not about AI replacing engineers. It's about AI exposing which software companies were never real to begin with. @JTLonsdale says low end SaaS is finished. The ones that cost more to sell than they did to build are done. "There's a lot of stuff PE bought, didn't take that much to build, probably put more money into sales than tech. That stuff is in trouble." But here's the twist. When people say they "vibe coded Palantir" in a weekend, Lonsdale laughs. A company that took hundreds of millions and the best engineers on the planet to build is not getting replaced by a chatbot prompt. The real story is what's hiding underneath. 20-25% of the $3 trillion private credit market is SaaS companies. UBS says default rates could hit 13% if AI disruption accelerates. That's 3x the projected high-yield default rate. PE-backed software deals already dropped 21% last year. Firms can't figure out how to price the risk of AI making their portfolio companies obsolete. ...