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Artificial Intelligence (AI) Augmented Software Engineering Market Size Forecasted To Achieve $21.49 Billion By 2029 With Steady Growth
Artificial Intelligence (AI) Augmented Software Engineering Market
What Is the Artificial Intelligence (AI) Augmented Software Engineering Market Size and Projected Growth Rate?
The market size of AI-enhanced software engineering has witnessed an accelerated expansion in the past few years. This market is projected to upscale from $3.18 billion in 2024 to $4.67 billion in 2025, with a compound annual growth rate (CAGR) of 46.9%. Factors such as the escalating need for streamlined software development procedures, the growing intricacy of software systems, the broad acceptance of agile and devOps methodologies, the expanding use of AI in various industries, and the heightened comprehension of the advantages of AI-based software engineering in the business world are responsible for this historical period growth.
Expectations are high for the artificial intelligence (AI) augmented software engineering market to witness significant expansion in the coming years. Its size is projected to reach $21.49 billion by 2029, posting a compound annual growth rate (CAGR) of 46.5%. This predicted surge within the forecast period can be credited to the surge in AI technologies investment, wider acceptance of cloud computing, continuous focus on digital conversion strategies, and an increasingly cut-throat business landscape. Several trends in the forecast timeline are anticipated, particularly technological breakthroughs in AI and machine learning, the assimilation of AI technologies throughout the software development lifecycle, improvements in natural language processing (NLP) technologies, the rise of AI-driven testing tools and platforms, and the adoption of AI-based code assessment tools.
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What Are the Major Segments in the Artificial Intelligence (AI) Augmented Software Engineering Market?
The artificial intelligence (AI) augmented software engineering market covered in this report is segmented -
1) By Component: Machine Learning, Deep Learning, Other Components
2) By Tool: Conversational AI Models, Autonomous Testing Tools, AI-Based Debugging Tools, Other Tools
3) By Use: Creating Code, Bug Fixing, Software Testing, Other Uses
4) By End User: Software Development Companies, Startups, Independent Developers, Government Organizations, Research And Academic Institutions, Other End-Users
Subsegments:
1) By Machine Learning: Supervised Learning, Unsupervised Learning, Reinforcement Learning
2) By Deep Learning: Convolutional Neural Networks (CNNs), Recurrent Neural Networks (RNNs), Generative Adversarial Networks (GANs)
3) By Other Components: Natural Language Processing (NLP), Knowledge Graphs, Automated Code Generation Tools
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What Are The Driving Artificial Intelligence (AI) Augmented Software Engineering Market Evolution?
The anticipated growth of the artificial intelligence (AI) enhanced software engineering market is directly linked to the ascendancy of cloud computing. The latter concept involves the provision of services via the internet, which promotes rapid innovation, versatile resources, and scalability. The increased adoption of cloud technology stems from its adaptability, cost-efficiency, easy accessibility, and scalability, all of which facilitate the smooth functioning and fast-paced innovation of businesses. AI-enhanced software engineering is being progressively utilized in cloud computing to make development processes autonomic, optimize the use of resources, and boost productivity. For example, a Eurostat report released in December 2023 established that 45.2% of EU businesses had engaged cloud computing services in 2023, reflecting a 4.2 percentage point rise from 2021. This gives credence to the idea that the surge in cloud computing is instrumental in driving the expansion of the AI-boosted software engineering market.
Which Firms Dominate The Artificial Intelligence (AI) Augmented Software Engineering Market Segments?
Major companies operating in the artificial intelligence (AI) augmented software engineering market report are Alphabet Inc.; Meta Platforms Inc.; Amazon Web Services Inc.; Intel Corporation; International Business Machines Corporation; Oracle Corporation; SAP SE; NVIDIA Corporation; Salesforce.com Inc.; Cognizant Technology Solutions Corporation; Baidu Inc; Adobe Inc.; Infosys Limited; Alibaba Cloud; HCL Technologies Limited; Wipro Limited; Palantir Technologies Inc.; OpenAI; DeepMind Technologies Limited; DataRobot Inc.; LeewayHertz Technologies Pvt. Ltd.; eSparkBiz Technologies Pvt. Ltd.; Markovate Inc.; DataToBiz Pvt. Ltd.; Nettyfy Technologies Pvt. Ltd.
What Trends Are Expected to Dominate the Artificial Intelligence (AI) Augmented Software Engineering Market in the Next 5 Years?
Leading corporations in the AI-enhanced software engineering market are prioritizing the creation of code generation and help tools like autonomous AI software engineers. These tools are aimed at streamlining development procedures, boosting productivity, and allowing complex tasks to be accomplished with unparalleled accuracy and efficiency. Autonomous AI software engineers are sophisticated AI systems capable of executing a range of software engineering jobs, from coding and debugging to project planning and deployment, with little human oversight. Take, for example, Cognition Corporation's Devin, an autonomous AI software engineer launched in March 2024. Devin can manage entire development projects on its own, using advanced long-term reasoning to plan and execute complex tasks. It comes with a shell, a code editor, and a web browser, and it's capable of learning new technologies, creating and deploying apps, debugging codes, and training AI models independently. Seen as an innovative solution in the realm of AI-supported development, Devin promises to reshape the software engineering field by delivering unrivaled precision and efficiency.
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Which Is The Largest Region In The Artificial Intelligence (AI) Augmented Software Engineering Market?
North America was the largest region in the artificial intelligence (AI) augmented software engineering market in 2024. The regions covered in the artificial intelligence (AI) augmented software engineering market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Artificial Intelligence (AI) Augmented Software Engineering Market?
2. What is the CAGR expected in the Artificial Intelligence (AI) Augmented Software Engineering Market?
3. What Are the Key Innovations Transforming the Artificial Intelligence (AI) Augmented Software Engineering Industry?
4. Which Region Is Leading the Artificial Intelligence (AI) Augmented Software Engineering Market?
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