A new wave of artificial intelligence (AI) tools that turns plain English into working software is upending how companies build and buy technology, threatening billions in traditional IT spending.
The shift comes as businesses face mounting pressure to digitize operations amid a chronic shortage of software developers. Tech startup Agemo now offers AI tools that let non-technical employees create their business applications by describing what they need. While traditional software vendors and IT consultancies face disruption, early corporate adopters report faster deployment times and lower costs.
“AI-driven software development would enable non-technical business teams to quickly prototype business ideas without relying heavily on developers, “ software developer Daryle Serrant told PYMNTS. “Tools like the one being developed by Agemo will help lower the costs typically associated with early-stage development by allowing teams to build basic prototypes or MVPs [minimum viable products] independently. Businesses can refine their products as much as necessary before engaging with software developers.”
The race to automate software development has taken a new turn as British startup Agemo recently unveiled an AI system that thinks through programs as human engineers do.
Unlike today’s AI coding assistants, which mainly complete code snippets, Agemo’s technology thinks about entire systems, handling everything from initial design to final deployment. The company, backed by cloud monitoring firm Datadog’s CEO and DeepMind executives, represents a bid to let non-technical users build sophisticated software just by describing what they want — though for now, it’s limited to creating backend systems.
Agemo joins a growing list of AI-powered software development tools that reshape coding and project management, automate complex tasks and speed up development cycles. Other examples include GitHub Copilot, which assists developers by suggesting code completions, and Tabnine, which leverages generative AI to provide whole-line and function-level code predictions, enhancing productivity and reducing debugging time.
The rise of AI-powered software development could change how businesses invest in technology, letting small merchants quickly build custom apps instead of relying on expensive off-the-shelf solutions or outside developers. The shift may slash IT budgets for enterprises as departments bypass traditional development cycles.
However, it raises security and system reliability concerns when non-technical staff can generate their programs. From corner stores to Fortune 500 companies, businesses may soon find themselves having to choose between maintaining traditional development practices or embracing AI tools that promise faster deployment but require rethinking how organizations manage their software creation.
Elvis Sun, a Google software engineer and founder of PressPulse, told PYMNTS that AI-driven development tools are reshaping commerce by letting non-technical business teams build their own applications through simple interfaces rather than depending on scarce developer talent.
He said the shift could dramatically reduce companies’ IT and training costs, since staff can now specify what they want their software to do using plain language, leaving AI models to handle the complex coding work.
Sun said he’s witnessed firsthand how this technology democratizes software creation, allowing businesses to quickly deploy custom solutions without the traditional overhead of extensive programming knowledge or dedicated development teams.
“As the technical barriers in software creation continue to decrease, I believe we’ll see the market for development services evolve in interesting ways,” he added. “Rather than relying solely on traditional software developers and IT consultants, companies may start to adopt new service models focused on providing support and maintenance for user-generated applications.”
In the future, AI will handle basic coding, letting tech experts focus on building more sophisticated AI systems, Sean Ren, associate professor at the University of Southern California and CEO of Sahara AI, told PYMNTS.
“Rather than solely building tools, developers can now drive innovation by enhancing AI capabilities and creating adaptive, intelligent platforms,” he said. “Meanwhile, IT consultants can focus on helping businesses integrate AI tools in ways that align with long-term goals. These roles will provide essential expertise, ensuring that companies maximize the value of AI and continue to innovate effectively.”
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