2026 Macro Industry Trends in Software Engineering

The software consulting industry is going through a recalibration and the pressure is real.  Bill rates are under downward pressure. Global talent pools have expanded. AI coding assistants are changing client expectations about what software should cost. And salary growth has pushed upwards faster than the broader workforce for quite some time, although that seems to be slowing now.  At the same time, operational costs keep climbing. Running a quality software firm isn't getting easier.

But here's what I find interesting.

AI is NOT spelling the end of the need for software developers.  It’s actually the polar opposite.  Expectations of what is possible (and therefore what software is needed) has always stayed ahead of industry’s ability to produce that software. And we see that right now: productivity expectations are rising faster than ever.  Clients want more delivered in less time. And for firms that can actually deliver on that promise, the opportunity has never been better.

Stack Overflow's 2025 Developer Survey reported that 84% of developers now use AI tools in their workflow and development process. But the productivity gains are showing to be more conservative, between 10-15% productivity boosts. Trusting AI output remains mixed, and only about half of developers say it's had a genuinely positive impact on their work although that is growing fast.  That gap between expectation and execution is where the opportunity lives.

What we're doing at ROK.

We're leaning into our specialization, working with companies who need software for hardware, the software inside or surrounding their physical products, especially in the marine tech sector and industrial products. These are domains where context really matters, and you can’t just generate code without understanding the physical systems, the operating conditions, the regulatory environment, and the hard constraints of hardware design and manufacturing cycles.

We're also embracing AI tools, but thoughtfully. Using them to accelerate the work our engineers already do well. Not as a replacement for domain expertise.  Not as a replacement for architecture, or quality code design, either.
The result is delivering more value at better economics for our clients. That feels like a sustainable position.

My take is: this is a fabulous time to be alive in this industry. The work is exciting!  The tech is exciting, and changing fast.  It’s easier and faster than ever to produce better than ever, moFirms that combine deep specialization with modern productivity tools will thrive.  Commodity generic-dev-for-hire shops will get squeezed out.

What shifts are you seeing in your corner of the industry?