Is AI transforming software engineering or a job killer?

Artificial Intelligence is no longer just a productivity booster—it’s becoming a job reducer, especially in software engineering. With companies like Salesforce, Microsoft, Meta, and Google increasingly relying on AI to write and review code, the traditional role of the software developer is being redefined—and in some cases, replaced.

AI Is Helping Big Tech Hire Less

Salesforce recently confirmed that it’s hiring fewer engineers due to AI-driven productivity gains. “We view these as assistants, but they are going to allow us to hire fewer people,” said Robin Washington, the company’s Chief Financial and Operations Officer, in an interview with Bloomberg. It’s a sentiment being echoed across Silicon Valley.

The shift is particularly hitting entry-level tech jobs. With AI tools capable of handling routine coding tasks, fresh graduates are finding it increasingly difficult to get their foot in the door. What started as a promise to “augment” engineers is now clearly moving toward replacement in certain roles.

Entry-Level Jobs Are Disappearing

For aspiring software engineers—especially in tech talent hubs like India—the future looks uncertain. Many students are pursuing advanced degrees abroad, but with top firms reducing hiring thanks to AI, those efforts may not guarantee a return on investment.

LinkedIn’s Aneesh Raman summed up the shift in a New York Times op-ed: “Now it is our office workers who are staring down the same kind of technological and economic disruption. Breaking first is the bottom rung of the career ladder.”

AI Now Writes a Big Chunk of Code

At Microsoft, CEO Satya Nadella says AI writes 20–30% of the company’s code. Meta’s Mark Zuckerberg expects AI to take over at least 50% of software development within the next year, noting that “AI engineers” will do the heavy lifting over “people engineers.”

Google isn’t far behind. CEO Sundar Pichai recently said that over 30% of new code is being written by AI—up from 25% last October. Acceptance of AI-generated code among Google employees is also on the rise.

At Anthropic, CEO Dario Amodei believes we could be just months away from AI writing 90% of all new code. Duolingo has already started replacing human contract workers with AI.

The Role of Software Engineers Is Evolving

The rise of AI models like ChatGPT, GitHub Copilot, and OpenAI’s Codex is not only automating code generation—it’s changing how engineers work. These tools are no longer limited to minor tasks. They’re writing complex code, reviewing pull requests, and accelerating development cycles at a pace that was unimaginable just two years ago.

What This Means for Developers

While senior engineers and specialized developers may still be in demand, the entry-level pipeline is tightening. The new norm in tech may no longer be about scaling teams—but scaling AI-powered productivity. Engineers of tomorrow will need to upskill fast, focusing on creativity, systems thinking, and working with AI—not competing against it.