AI productivity gains are closer to 10% than 10x
leaddev.com
leaddev.com
Right now the market favors employers, but I think when the sobriety sets in this will rapidly change. Senior devs are gonna get more expensive. Companies should massively invest in education programs.
* AI will drive additional features as development accelerates
* There will be a window where fast adopting AI companies can deliver features faster than peers
* Those fast adopting AI companies will be able to garner additional revenue
* Gap closes as AI benefits slow in their impact to feature development and slower adopting companies catch up
* Companies that were faster adopters can no longer charge more for additional revenue without giving up market share to now caught-up competitors
* New normal is that companies are in a bind - they have to pay for tokens/AI aided development else they lose speed and therefore market share - but the paying is now without additional revenue and exists as a tax
Assumptions:
* No AGI
* LLMs have bounded impact on features
* Timeframe is long enough that companies that trail in AI won't be starved out
The companies going 50% slower on reliable features that customers want to pay for will continue to wipe the floor with the hyper productive companies producing fluff.
The fundamental problem is having people doing the right things. Lines of code does not equal real economic value.
I think AI will have a much different effect: raw headcount will no longer give large companies the same moat that they once had.
If AI makes a 10x engineer into an 100x engineer and unlocks this whole world of productivity, getting them to actually deliver 100x requires the proper culture where they aren't blocked by environmental factors, management, and incentive structure.
10x -> 100x is an extreme example, but the point stands: if AI amplifies our productivity and productivity is determined by motivation + environment + alignment on priorities, in order to realize the advantage from AI, a company needs to both embrace it and have the right culture
> If AI makes a 10x engineer into an 100x engineer and unlocks this whole world of productivity, getting them to actually deliver 100x requires the proper culture where they aren't blocked by environmental factors, management, and incentive structure.
yea, from what i've seen, even "ai-first" companies have too many barriers in place to allow anyone to reach that hypothetical 100x... to many reviews, daily meetings, incidents, goals set by management that you cant ignore, etc etcjust a guess but i suppose that hypothetical 100x (if its even possible) is only going to be reachable by people in better suited orgs (my cynical side says very few) or just indie devs...
In my experience Claude Code only really started to be really strong in December 2025 and most people didn’t notice/adopt it until Opus 4.6, which launched in Feb 2026. So I’d expect quite a different result if measure since then.
If that’s true, AI gives the same gains doubling labour. No?
Which will probably be true at some point when we have become good at using AI, and maybe when AI has improved further as well.
Everybody have access to the same LLMs. Eventually if everybody is a "Nx engineer" (see PS below), then nobody is. Just a new baseline.
Once you are at this point, you can either invest further in LLMs, marginally increasing "productivity", or invest in people and culture, increasing potential for innovation by bringing in deep domain expertise that is not in any LLM and never will be.
PS: many measure "Nx engineer" by lines of code or number of "features" someone churns out; a better metric would be real world impact. Can I 10x my "made the world a better place" metric with LLMs? Hard to say. Probably not.
People are also much faster when they dont care about quality at all.
The overall results, if you joined them later was "wow this is slow, you are producing crap and customer is entirely correct when they complain".
My point here is that "don't care about quality" does a lot in that claim. It leads to a lot of useless and contra-productive work - you would be better off if they have done nothing. And I think what people are reproducing that state here, just faster.
it's almost August - companies should have two years of progress since Jan 1 2026.
if you like slop
Usually from 1 to 3 months
Now it all can be developed in just 5 mins, add cosmetic changes in just 24 hours and you have a fully functioning app already deployed in production
So if that doesn't make you a 10X developer you are not using enough AI
Please go ahead and post a YouTube video showing us all how to do it.