AI-generated code still requires software engineers to build, test, debug, deploy, secure, monitor, be on-call, support, handle incidents, and so on. That's very expensive. It is much cheaper to pay a small monthly fee to a SaaS company.
So what happens is a corporation ends up spending a lot of money for a square tool that they have to hammer into a circle hole. They do it because the alternative is worse.
AI coding does not allow you to build anything even mildly complex with no programmers yet. But it does reduced by an order of magnitude the amount of money you need to spend on programming a solution that would work better.
Another thing AI enables is significantly lower switching costs. A friend of mine owned an in person and online retailer that was early to the game, having come online in the late 90s. I remember asking him, sometime around 2010, when his Store had become very difficult to use, why he didn’t switch to a more modern selling platform, and the answer was that it would have taken him years to get his inventory moved from one system to another. Modern AI probably could’ve done almost all of the work for him.
I can’t even imagine what would happen if somebody like Ford wanted to get off of their SAP or Oracle solution. A lot of these products don’t withhold access to your data but they also won’t provide it to you in any format that could be used without a ton of work that until recently would’ve required a large number of man hours
There is only one program that offers this ability, but you need to pay for the entire software suite, and the process is painfully convoluted anyway. We went from doing maybe 2-3 files a day to do doing 2-3 files an hour.
I have repeated ad-nausea that the magic of LLMs is the ability to built the exact tool you need for the exact job you are doing. No need for the expensive and complex 750k LOC full tool shed software suite.
The paid program can do it because it can accept these files as an input, and then you can use the general toolset to work towards the same goal. But the program is clunky an convoluted as hell.
To give an example, imagine you had tens of thousands of pictures of people posing, and you needed to change everyone's eye color based on the shirt color they were wearing.
You can do this in Photoshop, but it's a tedious process and you don't need all $250/mo of Photoshop to do it.
Instead make a program that auto grabs the shirt color, auto zooms in on the pupils, shows a side window of where the object detection is registering, and tees up the human worker to quickly shade in the pupils.
Dramatically faster, dramatically cheaper, tuned exactly for the specific task you need to do.
That's a task that I could automate as a developer, but other than LLM "vibe coding", I don't know that there's a good way for a lay person to automate it.