GitLab C-Suite Survey: AI-Driven Software Innovation Could Unlock $750B+ in Value
Software innovation is driving revenue, but human expertise, skill gaps, AI governance, and strategic alignment remain make-or-break factors for long-term success
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Executives recognize that AI-enhanced software innovation is driving a significant economic shift, serving as a key driver of business growth and expansion. However, while AI adoption is delivering measurable ROI and increased productivity, the report also surfaces tensions around skills gaps, human-machine collaboration, and the need for formal governance of agentic AI.
Additionally, while leaders aspire to achieve optimal productivity through a 50/50 human-AI partnership, the current reality reveals that humans handle three-quarters of the work, and AI contributes just one-quarter. This disconnect exists alongside persistent concerns about job displacement, the perceived complexity of AI systems, and cybersecurity.
Report themes include:
AI-powered software innovation emerges as the new economic growth engine, unlocking billions in value
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Executives surveyed report saving an average of
$28,249 per developer annually from AI investments, translating to more than$750 billion in potential global value when applied to the world’s 27 million developers1.-
The
U.S. alone accounts for$149 billion
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The
- 91% report that software innovation is now a core business priority.
- 58% report that their organization has experienced business growth tied to software innovation efforts over the last 12 months.
- They estimate a 44% increase in revenue and a 48% increase in developer productivity due to the use of AI.
Agentic AI takes off, but execs say security and trust must catch up
- 89% of executives expect agentic AI to become the industry standard for software development within three years.
- Topping the list of concerns around the adoption of agentic AI are cybersecurity threats (52%), data privacy and security (51%), and maintaining governance (45%).
- 53% are implementing regulatory-aligned governance measures.
- 52% are developing internal AI policies, while 47% are using third-party audits.
Talent gaps threaten the human edge in the age of AI, making upskilling an imperative
- 99% of executives say human contributions are valuable for software development.
- 92% express that businesses should prioritize training employees to work alongside agentic AI to address skill gaps.
- 73% believe that human input for human-AI partnership should be at least 50/50, with only 27% believing that AI should do the majority of the work.
- Creativity (39%) and strategic vision (39%) rank as the most valued human inputs.
AI is a boardroom priority as software innovation proves its bottom-line impact
- 91% of executives say their board is bought into the benefits of software innovation.
- 82% report willingness to invest over half of their company’s annual IT budget to prioritize software innovation.
- 90% have adopted frameworks linking software development activities to key business outcomes.
- The most common metrics used today to measure software innovation success are increased business growth (40%), improved problem-solving capabilities (40%), and enhanced developer productivity (39%).
“AI-fueled software innovation is an undeniable source of competitive advantage and economic impact, with 91% of executives saying that it’s now a core business priority,” said Bill Staples, chief executive officer at
To access the full 2025 GitLab C-Suite Insights Report, The Economics of
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