Bain & Company · September 2026

Technology Report 2026

Bain & Company's Technology Report 2026 (September 2026; n=293, executive survey) found that senior technology leaders expect a 95% uplift in software developer productivity within one to two years, while the gains most are capturing today are 20% to 27%.

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Engineers' time on writing code is expected to fall from 34% to 16%Percent of engineers' time spent on code development (Bain AI Org Assessment Survey, n=155)
Source: Bain & Company, Technology Report 2026 (The Half-Finished Redesign), 2026, Figure 1.

Key findings

  1. 01
    Senior technology leaders anticipate a 95% uplift in software developer productivity within the next one to two years.This comes from Bain's Tech and Engineering Survey of 293 senior technology leaders.
  2. 02
    They also anticipate a 148% improvement in release-cycle speed over the same period.Bain contrasts these expectations with gains captured today.
  3. 03
    Productivity gains most companies capture today are 20% to 27% across key metrics.Bain says AI speeds coding but shifts bottlenecks into review, coordination, quality and governance.
  4. 04
    Bain estimates the AI industry needs $6 trillion in annual revenue by 2031 to justify data center spending.Existing consumer and enterprise AI could generate $1.2 trillion to $1.8 trillion a year, per Bain.

By the numbers

95%expected developer productivity uplift in 1–2 years
148%expected improvement in release-cycle speed in 1–2 years
20–27%productivity gains most are capturing today

What it means for you Draft

For executives at $10–100M companies

Bain's survey shows a large gap between what technology leaders expect from AI in software work and what they are getting now. For a $10–100M company, the practical lesson is to measure end-to-end delivery, not just coding speed. Expect the gains to depend on redesigning review and release steps.

For practitioners

Bain reports that code writing is a shrinking share of engineers' time, with more time spent directing AI agents. Review and coordination are where friction moves.

Limitations

Low trust.Sample of 293 technology leaders but timing, company size and geography undisclosed; expectations not measurements; Bain sells AI and technology consulting.

Survey timing, company size and geography are not disclosed, and the release-cycle and productivity figures are leaders' expectations. Bain sells AI and technology consulting.

About the publisher: Sells AI strategy and implementation consulting.

Cite the original

Bain & Company. "Technology Report 2026." September 29, 2026. https://www.bain.com/insights/topics/technology-report/