Executive summary

Software engineering is undergoing a revolution through the use of the latest-generation AI,
with some developers in leading high-tech companies telling Omdia they are letting the
latest tools generate 100% of application code, with the human role acting in a supervisory
and guiding function. The pace of improvement is such that agentic AI systems comprising
multiple AI agents can now undertake complex tasks that would, in the past, have been
taken up by a development team.

The state of the software development market today

With many businesses still on the adoption curve of cloud native technologies, there is a
crisis for many as they try to keep up with digital transformation and modernize enterprise
applications that are mission-critical and must be done right, while freeing resources to
innovate and compete with startups. Against this background is one of the largest
transformative technologies yet conceived: AI. Since ChatGPT was launched in November
2022, the competing players in what are called frontier large language models (LLMs) have
pushed the capabilities of AI to the point that developers today speak of a phase change:
the reliability of AI generated code is so high in some organizations that developers let the
machine generate the bulk of application code and instead take on new roles to supervise
the AI.

Enterprise -Scale Software Development in the AI -Native Era with IBM Bob

2026, All Rights Reserved | Privacy Policy