Engineering graduates are stepping into a tech world where artificial intelligence (AI) is changing how software is built. Microsoft CEO Satya Nadella recently shared that 30% of the company’s code is now written by AI, a clear sign of automation’s growing role. Microsoft’s CTO, Kevin Scott, goes further, predicting that in five years, AI could generate 95% of all code, with “very little… human-written code” left.
“Think about this as raising everyone’s level,” Scott said on the 20VC podcast, noting that AI makes it easier for anyone to create apps, even without deep coding skills. For engineering graduates, this isn’t the end of opportunity—it’s a chance to rethink their role. In India, where millions work in IT services, this shift is especially critical, as the industry relies heavily on human coders.
As a result, the rise of AI pushes graduates to focus on creativity, strategy, and problem-solving—skills machines can’t match. By mastering AI tools, learning system design, and staying adaptable, engineering graduates can stay ahead.
Engineering Graduates and the Impact of AI on Coding
AI tools like GitHub Copilot are changing what developers do. With AI writing 30% of Microsoft’s code, tasks like creating repetitive code or fixing bugs are being automated. Consequently, this frees engineering graduates to tackle bigger challenges, like designing systems, improving algorithms, or solving unique business problems.
“AI is not replacing coders; it’s making them more productive,” says Google DeepMind’s Demis Hassabis, highlighting the need for human-AI teamwork. Since AI can turn simple instructions into working code, non-technical people can now build basic apps. Therefore, entry-level coding jobs are becoming more competitive.
Engineering graduates need to stand out by getting good at using AI tools and checking their work for accuracy and security. Moreover, new roles like AI integration specialists or prompt engineers are emerging—blending technical know-how with creative thinking. OpenAI’s Sam Altman adds, “The future is about humans and AI working together, not one replacing the other.” For graduates, that means learning to collaborate with AI and focusing on skills that set them apart.
Engineering Graduates: Developing Critical Skills
To stay relevant, engineering graduates must build skills that work alongside AI. Knowing how to use tools like GitHub Copilot, Tabnine, or AWS CodeWhisperer is a must—they help you code faster, but you still need to guide them.
Additionally, critical thinking is just as important. While AI can write code, it doesn’t always understand complex needs or ethical issues. Graduates should practice solving tough problems and making sure solutions fit the bigger picture.
System design—things like cloud computing, microservices, and building scalable systems—is becoming a key skill as AI takes over basic coding. Furthermore, communication and teamwork also matter, since you’ll often work with others to bring AI projects to life.
“Human-centered AI needs human judgment,” says Fei-Fei Li, co-director of Stanford’s Human-Centered AI Institute, stressing the importance of ethics and oversight. Continuous learning is non-negotiable. Online courses on Coursera or certifications in AI and cloud tech can help graduates stay competitive.
Engineering Graduates and New Career Pathways
AI is creating fresh career paths for engineering graduates. As routine coding fades, roles like ethical AI consultants—who ensure fairness and compliance—are on the rise. Other jobs, such as AI product managers or data governance officers, are also growing.
In fact, graduates can now apply AI in fields like healthcare, finance, or climate tech. For example, startups like Niramai use AI for affordable cancer screening in India. Likewise, low-code platforms allow graduates to prototype ideas quickly, which makes them valuable in fast-moving industries.
To grab these opportunities, graduates should gain hands-on experience through internships, open-source projects, or personal AI experiments. Also, connecting with tech communities and professionals can help identify new roles.
Elon Musk has said, “Problem-solving across fields will define the next generation of tech talent.” In India, leaders like Ekroop Caur from Karnataka’s government highlight AI’s potential in agriculture and healthcare—areas where graduates can make a difference.
India’s Preparation: A Workforce-First Approach to AI
India’s IT industry, worth $263 billion and employing millions, faces big changes as AI automates coding and support roles. In response, the government is stepping up with programs like FutureSkills Prime—a NASSCOM partnership aiming to train over 2 million people in AI, cloud, and cybersecurity.
Meanwhile, the AICTE is pushing engineering colleges to include AI courses, ensuring graduates are ready for today’s tech demands. “India’s strength is its people, and we must match that with digital skills,” says Infosys co-founder Nandan Nilekani.
Big IT firms are also investing in training. Infosys’s Lex platform offers personalized AI learning, while TCS’s Xplore and Wipro’s TalentNext prepare fresh graduates early. IBM CEO Arvind Krishna notes, “Jobs aren’t disappearing—they’re evolving.” However, HCL Technologies’ C Vijayakumar warns, “We need twice the output with half the people,” pushing for greater efficiency.
Therefore, while India is committed to maintaining its IT edge, engineering graduates must actively use these programs to stay competitive.
Preparing for an Automation-Driven Future
Engineering graduates can prepare for an AI-driven world by jumping into hands-on work. Building AI-powered apps or contributing to open-source projects demonstrates real-world capability.
Additionally, platforms like Udemy or edX offer practical courses on AI and modern development practices. Hackathons and tech meetups provide valuable networking and learning opportunities. Likewise, internships at AI-driven companies give early exposure to system design and innovation.
Having an entrepreneurial mindset also helps—look for ways AI can address real-world problems, especially in areas like education or sustainability. “Build AI that understands India’s needs,” says Pratyush Kumar of Sarvam AI, encouraging localized solutions.
Ultimately, staying flexible and updating your skills regularly is crucial. As Nilekani puts it, “The future belongs to those who keep learning.” Staying curious and practical will help graduates build meaningful careers in tech.
The Role of HR in Supporting Engineering Graduates
HR and IT staffing agencies play a key role in helping engineering graduates adapt to the AI era. As coding roles evolve, recruiters must identify candidates who understand AI tools, system design, and ethics in AI development.
Moreover, working with colleges to introduce AI training ensures that graduates are truly job-ready. Soft skills like adaptability, communication, and collaboration are essential, especially for multidisciplinary AI projects.
HR firms now use updated tools to assess candidates’ abilities to work with AI—going beyond standard resume checks. “We’re looking for problem-solvers, not just coders,” says a tech recruiter at NASSCOM. Offering relevant training and certifications helps bridge the gap.
By focusing on practical, forward-looking skills, HR ensures that engineering graduates can thrive in the AI-driven IT industry.
Human Edge in an AI-Driven IT Future
Ramgopal Nanda, Vice President – IT at Spectrum Talent Management, shares a clear perspective:
“AI may be capable of writing code, but it can’t replicate the creativity, problem-solving, and human insight that you bring to the table. The future of IT is about adapting and innovating within an AI-driven world. Graduates need to not only master AI tools but also use them to creatively solve real-world challenges. A hybrid approach—merging technical expertise with business acumen—is essential. Those who can bridge AI technologies with industry needs will drive innovation. As automation continues to advance, creativity, ethics, and strategic thinking will be more valuable than ever.” Nanda’s insight highlights the importance of blending soft skills with technical know-how to stay relevant.
AI Can Write Code, But It Still Can’t Replace You
AI writing 30% of Microsoft’s code is a wake-up call, but it’s not a roadblock. For engineering graduates, it’s a moment to rethink their strengths. By learning to work with AI, focusing on system design, and sharpening critical thinking, they can build careers that complement automation.
Government programs, corporate training, and forward-looking industry leaders are paving the way. New roles in AI ethics, product development, and industry-specific applications are emerging quickly. HR will continue to play a vital part in shaping and matching talent with these new demands.
With practical experience, ongoing learning, and a mindset built around innovation and human value, engineering graduates can lead the next chapter of India’s tech growth.