Evolutionary Innovation in the Agentic Era: Two-Layer Software Architecture

ICONIQ Capital argues that AI agents will not displace software but rather evolve it through two interdependent layers: a Data Context Layer (systems of record with domain expertise) and an Agent Layer (AI systems automating complex tasks). The firm rejects the 'software is dead' narrative, comparing this transformation to historical platform shifts where categories endure but are reimagined by exceptional products.