AI could boost software engineer productivity by 32.6%
Tools such as Anthropic Claude Code or OpenAI Codex have changed the face of software development, and all the signs are that this investment is set to increase further. But is paying a monthly subscription (and perhaps additional usage fees) cost-effective? Will the increasing level of investment in AI-generated software prove to be worthwhile? That’s a question several economists from the US…
A recent study by economists from the US National Bureau of Economic Research suggests that artificial intelligence could boost the productivity of software engineers by up to 32.6%. This conclusion was reached by examining the impact of AI on stock prices of companies that heavily rely on software engineers, as reported by CIO.
The researchers found that from November 2022 to December 2025, AI had increased the market's expected present value of software engineering productivity to match a permanent 32.6% improvement. While this does not guarantee a 32.6% increase in individual engineer productivity, it provides a valuable benchmark for decision-making regarding the allocation of budgets between AI tool usage and paying salaries for software engineers.
Written by urgent.news from Computerworld's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
