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Are Coders Becoming Obsolete? Demand for Programmers in US Reached Lowest Level Since 1980

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The job market for computer programmers in the U.S. has plunged to its lowest level since 1980—long before the internet revolutionized technology. This decline has coincided with the rise of artificial intelligence (AI), particularly tools like OpenAI’s ChatGPT, which can handle coding tasks without requiring extensive programming knowledge.

According to the Bureau of Labor Statistics’ (BLS) Current Population Survey, there are now fewer computer programmers in the U.S. than when Pac-Man was first released. In 1980, over 300,000 people were employed as programmers, a number that soared to more than 700,000 during the dot-com boom of the early 2000s. Today, that figure has been nearly cut in half. While overall U.S. employment has grown by 75% in the past 45 years, the demand for programmers has sharply declined.

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The AI Disruption in Programming Jobs

The rapid adoption of AI-powered coding assistants has significantly impacted the industry. Since OpenAI launched ChatGPT in late 2022, there has been a 27.5% drop in the 12-month average of computer programming employment. AI-driven tools can generate code, debug software, and even optimize existing programs with minimal human input, reducing the need for traditional coding roles.

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Some companies have openly admitted that AI is influencing hiring decisions. Buy now, pay later firm Klarna, for example, froze hiring after implementing an AI chatbot, which the company claims performs the work of 700 full-time employees. While the chatbot’s primary function is handling customer service inquiries rather than engineering tasks, its efficiency has raised concerns about the future of programming jobs.

Even major tech leaders acknowledge AI’s growing role in software development. In January 2025, Meta CEO Mark Zuckerberg suggested AI could replace mid-level engineers, making certain coding positions redundant. Similarly, IBM CEO Arvind Krishna predicts that AI will automate 20–30% of coding work, freeing human programmers to focus on more complex tasks.

Is AI Replacing Programmers or Enhancing Productivity?

Despite the alarming decline in programming jobs, not all experts believe AI will completely replace coders. Instead, some argue that AI can improve productivity by automating repetitive coding tasks while leaving complex problem-solving to human developers.

IBM’s Arvind Krishna emphasizes that AI will not eliminate programming jobs but rather shift the role of programmers toward overseeing AI-generated code, debugging intricate systems, and ensuring high-level software functionality. AI could serve as an assistant rather than a replacement, making development more efficient and scalable.

Moreover, while traditional programming roles are shrinking, software development jobs are projected to grow by 17% from 2023 to 2033, according to the BLS. Unlike programmers, software developers take on broader responsibilities such as designing applications, integrating AI models, and collaborating with engineers to create innovative solutions.

The Future of Coding in the AI Era

While AI’s impact on programming jobs is undeniable, the long-term effects remain uncertain. Some businesses may reduce their reliance on human coders, while others will integrate AI as a tool for boosting productivity rather than replacing employees.

For programmers, the key to staying relevant in the AI-driven job market is adapting to new technologies. Learning AI-assisted coding tools, specializing in machine learning, and transitioning into software development roles could help professionals future-proof their careers.

The conversation about AI’s role in programming is still evolving. While some jobs may disappear, the demand for skilled developers who can manage, refine, and optimize AI-generated code will continue to grow.

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