The recent surge of artificial intelligence (AI) technology has significantly impacted the stock market, particularly affecting software and financial stocks. Software stocks experienced a sharp decline earlier this year following the release of advanced AI models, such as Anthropic's Claude Opus 4-6, which enable businesses to perform legal work and develop programs previously requiring costly licenses. The iShares Expanded Tech-Software ETF (IGV) has fallen 19% this year, with companies like ServiceNow and LegalZoom suffering substantial losses. More recently, financial services firms have seen their shares plummet after the launch of an AI-powered tax planning tool by Altruist, integrated within its Hazel platform. This tool can create personalized tax strategies by analyzing various financial documents and data, promising to complete tasks within minutes. Major firms like LPL Financial, which closed 8.31% lower after an 11% midday drop, Charles Schwab, Raymond James Financial, and Morgan Stanley all experienced declines, reflecting investor concerns that AI could disrupt traditional financial advisory services and erode profit margins. The market's reaction indicates growing fears that AI will not only replace some of the profitable offerings of established financial advisory firms but also significantly alter the industry landscape. The ETF for U.S. broker-dealers and securities also declined by over 3% amid these worries. Overall, AI's rapid advancement is causing a reevaluation of industry stability and profitability across both software and financial sectors.