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Home Business

Smaller Software Engineering Teams Will Become the Norm by 2029, Says Gartner

Deepa Sharma by Deepa Sharma
July 7, 2026
Software Engineering

Smaller Software Engineering Teams Will Become the Norm by 2029, Says Gartner

Gartner predicts that 60% of organizations will adopt smaller software engineering teams at scale, up from 15% in 2026.

The company tied that shift to the way AI is changing how software is built. Gartner analyst Aliyah Camachosaid AI is changing software engineering by changing roles, redesigning teams and increasing demand for software engineers rather than reducing it.

What is meant by “smaller teams”

Gartner said “tiny teams” are meant to use AI to take over routine technical work so engineers can focus on tackling problems and innovation. These teams are a restructuring of how human and AI capabilities are combined, not a cost-cutting tactic.

The firm said tiny teams today typically have four to five members, though some can be as small as two to three people. Gartner expects the smaller end of that range to become more common as worker skills and AI capabilities mature.

[ALSO READ: By 2028, AI Coding Costs Will Surpass the Average Developer’s Salary, Gartner Predicts ]

What it means for software leaders

Engineering groups are likely to become more specialized, more platform-dependent and more AI-assisted. Tiny teams will be supported by strong platform engineering teams that provide consistent workflows, automation and self-service AI tools.

In a separate 2026 trend note, the company said AI-native development platforms are intended to help small, nimble teams build software with generative AI. It also previously forecast that most large software engineering organizations would establish platform engineering teams to provide reusable services and tools.

Traditional software engineering teams usually separate duties across coding, testing, design, product coordination and delivery. Gartner says those boundaries will blur inside tiny teams, where each member handles a wider mix of responsibilities, including business goals, product design and oversight of AI agents.

[ALSO READ: Gartner Predicts by 2027, Companies Will Use Small, Task-Specific AI Models Much More Than General-Purpose LLM ]

The new model is less about adding more people and more about using fewer people with wider skills, stronger internal platforms and more AI support.

Gartner also warned against using AI as a reason to cut junior hiring too aggressively. Camacho said slowing junior-level hiring could weaken knowledge transfer, narrow the talent pipeline and leave companies competing for more expensive senior talent. Gartner further warned that organizations relying on AI to eliminate junior roles could hollow out their software engineering pipeline by 2028.

“

Deepa Sharma

Deepa Sharma

Deepa Sharma is CXOVoice’s Managing Editor, overseeing coverage of technology, cybersecurity, banking, and financial services. She can be reached at [email protected].

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