GoKawiilApollo Global Management 's David Sambur told CNBC on Thursday that the selloff in software stocks from fears of artificial intelligence disruption is far from over.
"I unfortunately think it's very early," Sambur, who is co-head of private equity, told CNBC's "Money Movers."
Some Wall Street analysts have been comforted by the recent rebound in the IGV Software ETF , which has climbed about 3% in March following a bruising start to the year. The ETF is still down 20% this year.
Sambur said software names are under scrutiny and facing critical questions about the revenue model, the gross margin profile, the competitive environment with Anthropic and OpenAI and the valuations.
"I know the markets are moving up and they've rebounded a little bit, but I don't see any of those four things changing because of the real question mark about what the impact [is] of AI lowering the cost to compete, and therefore increasing the level of competition," he said.
Sambur, who joined Apollo in 2004, said the displacement from AI will be historic and "is faster than I've ever seen at any point in my career."