Even if AI were erased today, most SaaS companies wouldn’t exist in 5-10 years. Doing business with a small tech company that could run out of borrowed money or sell to someone who will destroy the product or just arbitrarily change the terms of service tomorrow is a liability. That’s assuming the hypothetical tech spend isn’t just eroding margin anyway.

True, but that's one of the reason established SaaS can charge an arm and a leg. Not every SaaS is a start up.