Ai Software Development
In recent years, the utilization of generative AI in software development has been rapidly advancing. Generative AI, which understands and processes human language, also demonstrates exceptional capability in creating programs written in computer languages. Engineers can enhance productivity by effectively leveraging AI.
On December 20, 2024, OpenAI in the United States announced its latest AI model, "o3 (O-Three)." Compared to its predecessor, "GPT-4o (Four-O)," this model has significantly improved logical reasoning abilities. Notably, it achieved world-class results in automated program generation tests. According to OpenAI's report, "o3" ranks among the top 0.05% of competitive programmers worldwide, possessing skills equivalent to the 175th position globally.
Additionally, the open-source AI technology released by DeepSeek, a Chinese AI company known for its low development costs, has sent shockwaves across the world. Despite its affordability, some reports suggest that its performance surpasses that of major U.S. AI companies such as OpenAI. However, DeepSeek has severe security vulnerabilities, leading several countries to ban its use.
According to Mitsubishi Research Institute's "DX Promotion Status Survey" conducted in December 2023, 31.8% of Japanese companies already utilize generative AI for programming, making it a major application alongside "external information gathering," "document summarization and translation," and "internal information search." U.S. research firm Gartner predicts that the proportion of software engineers using AI code assistants will rise from less than 10% in 2023 to 75% by 2028.
The adoption of AI varies by company, but IT firms such as CyberAgent, ZOZO, and Money Forward are actively leveraging AI. For instance, Findy (Tokyo, Shinagawa), a company specializing in IT engineer matching, introduced "GitHub Copilot" in 2023. Approximately 90% of its 50-person engineering team uses it daily. As a result, AI now handles the equivalent of 20 business days' worth of work per month, achieving productivity gains akin to having engineers earning 12 to 15 million yen annually assist for half a day each.
With AI's evolution, engineers' roles are shifting from simple coding to "architectural development," which involves designing entire systems. In the development of critical societal systems, the division of labor between humans and AI remains crucial during the AGI transition phase. However, in the ASI era expected in a few years, only top engineers may be needed, leading to significant displacement within the engineering field.
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A 2023 survey found that 92% of U.S. software developers already use AI tools, and it is predicted that 75% of engineers worldwide will be using AI code assistants by 2028. This trend is accelerating in Japan as well.
Currently, AI is primarily used for automatic code completion, where engineers input part of the code, and AI accurately fills in the rest. Furthermore, AI is increasingly utilized for defining software requirements, creating prototypes (mockups and prototypes), and brainstorming development ideas.
In 2018, Japan’s Ministry of Economy, Trade, and Industry warned of the "2025 Cliff," predicting that legacy systems would hinder DX (Digital Transformation) efforts and could cause up to 12 trillion yen in annual economic losses. Despite the transitional phase of AI adoption, demand for engineers remains high due to system modernization, cloud migration, and generative AI integration.
Regarding the future role of engineers, there is a growing emphasis on architecture design, as AI is expected to handle routine programming tasks. The "DevOps" approach, which integrates development and operations, is gaining attention, highlighting the need for robust system design in the early stages of development.
Japanese engineers' salaries are about one-third to half of those in the U.S. and even lower than in South Korea. Since software development can be done remotely without national borders, Japan's talented engineers are increasingly leaving for opportunities abroad.
The evolution of generative AI is bringing a significant transformation to software development. Engineers are expected to evolve by utilizing AI to create new value.
AI will undoubtedly be incorporated into every product, including housing and living environments. In the near future, Tesla’s AI-powered humanoid robots will likely handle household chores. We have been born into the very heart of an era undergoing an immense shift in values.
A "true learning" experience that enables a clear vision of the future is essential to surviving this era of radical change. The "true learning" experience we provide, which is unparalleled anywhere else, holds extraordinary value for the future!