Technology runs and influences nearly every aspect of our modern, daily lives across the planet. As a result, no industry is without a need for individuals who have a background or experience in Software development or engineering. The growing and ever evolving field of technologies and software development have made this role, according to U.S News, the top job of 2023.
A software engineer is a professional with a background in computer science that seeks to apply their knowledge of programming for design, development, testing, maintenance, and innovation. Their knowledge of computer systems and their foundational principles of operation and upkeep is, in many respects, a backbone of the world's economy.
While there are some differences between software engineers and developers, the two roles are so similar that the terms are used interchangeably. From a focus standpoint, a major distinguishing factor between the two roles comes from engineers spending more time with back-end software solutions. Developers work more with front-end operations and the systems that will be interacted with in greater regularity by clients and customers of businesses.
The demand is so high that the U.S Bureau of Labor Statistics is predicting a 26% rise in employment— nearly 371,000 new positions for software developers and engineers over the next ten years. Software solutions are a major factor for the operating efficiencies and visibility for many companies today because most are quickly shifting to technologies like cloud computing, machine learning, and data analysis.
The current shortage, in combination with the projected need for developers and engineers over the next ten years, has been predicted to cost the United States alone, a nearly $162 billion loss of income, and around $8.5 trillion worldwide. The need for people with these skill sets is very high as a result, but just what exactly is driving this demand?
Here are a few reasons why software engineers and developers are growing in demand.
Reasons For High Software Engineer Demands
Simply put, the tech and startup industries have grown at tremendous rates over the last few decades. Software developers are the kind of professionals who help businesses understand new technologies and the ideas that drive them. Whether from popular demand or economic necessity, the economy and its nuances are an ever changing landscape.
The marketing of various products and the ability to reach customers and clients requires a foundational ability in most industries to manage all that information. Software developers and engineers help do that. Data analysis is another major aspect of business models nowadays. The availability of analytics software and AI technologies which sort and make sense of all the gathered data on client habits, production efficiencies, product efficacies, or even guarding against socially engineered scams, demands systems that can handle and quantify that information. However, none of that can be done as quickly without the software systems to do so. Developers and engineers, again, are behind much of a company's ability to maintain those processes.
Even COVID had an effect on the demand. Since much of the world had to shift to online and hybrid work environmental communications, so did the software and the systems that needed to support those lifestyles. What were technologies which were, at that time, available but not a daily necessity quickly became vital to survival.
Now, with the cost savings benefits and employee demands for this type of flexibility in scheduling, many businesses are not just open to hybrid work, but pushing for it. Each of those factors drove the need for new developments in software.
A Competitive Edge In Business
Being that the world's economies run on technology, the people with the abilities to understand and maintain the computer systems are going to remain in high demand. Since technology as a whole is constantly changing and evolving to update and improve, businesses need to be able to keep up with those changes if they want to maintain a competitive edge over the competition.
In order to do that, those companies need to find the right developers and engineers that can help. Without the recruitment of those types of people and positions to fill the roles and stay up to speed with other businesses, there needs to be a regular effort to find and employ such workers.
Interestingly, as per the classic rule of supply and demand, the increased need for software engineers and developers has made them a premium on the job marketplace. As a result, the average salary offerings are significantly high— a median income of about $120,000 per year.
This increased demand, and the added attention that usually comes with high price tags, has begun to influence the way that collegiate institutions, high schools, and government educators respond. More regularity and available educational access to associated curriculum is being offered much earlier in education because of this.
Innovation Drives Demand
As technology increasingly becomes interwoven into the fabric of our daily lives, both in personal and business respects, the need for innovative solutions increases. Businesses in nearly every industry need to be able to not just keep up but innovate. If they can do that in house with the minds and abilities maintained by software engineers and developers, then they have something truly special. Those innovations can mean the difference between better client satisfaction, faster production times, and enhanced decision making.
Companies who have recognized this understand the need for developer skill sets. Once employed, those abilities can be directed to innovate for improvements in multiple areas of business. Being that innovation is a desired outcome, and every industry can benefit from it, everyone wants a piece of the action.
No matter what will happen technologically and economically throughout the world in the next few decades, software will be involved. Therefore, companies that are looking to innovate, maintain a competitive edge, or just keep their systems running will need software developers. All of these reasons and more are driving up demand.
