BOSTON, July 8, 2025 — Software program engineering platform Jellyfish revealed the 2025 State of Engineering Administration report, which measures the affect of AI coding instruments on engineering work — from day-to-day workflows to large-scale organizational priorities. The sixth annual report gives an replace on how engineering groups are adopting AI, which coding instruments they’re deploying, how they’re paying for his or her AI investments, amongst different findings.
In line with the analysis, engineering groups are attaining substantial will increase in developer velocity and productiveness through AI coding. Software program engineers are united in a single space — the embrace of AI coding instruments — however cut up on the place the funds for these instruments ought to come from and the way AI stands to affect their productiveness transferring ahead. Notably, 45% of respondents anticipate offshoring as a share of their engineering headcount to extend over the following yr.
Findings from the report embody:
Adoption of and belief in AI has spiked: General, 90% of groups are embracing AI coding instruments to enhance their engineering practices, a major enhance from final yr when 61% of respondents stated their engineering organizations had embraced AI. Solely 3% are usually not utilizing AI instruments with no plans to take action.
AI is driving actual affect: Six in 10 (62%) respondents consider they’re attaining at the very least a 25% enhance in developer velocity and productiveness through AI coding. Lower than 1% of respondents consider AI is slowing them down.
On the subject of AI, code writing is main the cost: The preferred use case for AI coding instruments is writing code. GitHub Copilot is the software of alternative for 42% of respondents, adopted by Google’s Gemini Code Help, Amazon Q and Cursor.
The long run can be a hybrid of people and AI: Lengthy-term, respondents anticipate a good portion of software program improvement work to shift from folks to AI. Eight in 10 (81.4%) respondents consider that at the very least 25% of the engineering work people do at present can be dealt with by AI 5 years from now.
Firms proceed to spend money on engineering: Six in 10 (61%) respondents stated their engineering funds elevated as a share of firm income from 2024 to 2025, in comparison with 19% who stated it remained the identical and 17% who noticed a lower.
Jellyfish surveyed 645 full-time professionals globally, in numerous engineering roles, together with particular person contributors, managers, and executives. Respondents — representing firms starting from small engineering groups with fewer than 10 folks to enterprises with greater than 500 engineers — gave their ideas on AI, engineering funding, and metrics.
“Adopting AI in software program engineering is not elective, however unlocking its full worth requires greater than entry to coding instruments,” stated Andrew Lau, CEO and co-founder of Jellyfish. “It requires intentional measurement, structured enablement, and cultural funding. This isn’t a tooling improve — it’s an organizational transformation.”
