AI isn't replacing engineers, SignalFire data shows growing demand for tech jobs

According to Challenger, Gray & Christmas, tech layoffs hit a multi-year high in May in the US, with AI often cited as a reason. Software engineering seems most vulnerable, but SignalFire's hiring data tells a different story.

SignalFire tracked career paths of millions across over 80 million companies. Their report shows engineering jobs are the most resilient in 2025. Major tech firms cut overall hiring by 25% from 2019, but engineering hiring dropped only 11%. At top giants like Alphabet, Meta, Apple, Amazon, Microsoft, and Nvidia, engineers made up 55% of new hires in 2025, up from 46% in 2019. Early-stage startups are even more eager, with engineering hires up 7% from 2019.

Asher Bantock of SignalFire says if AI were replacing engineers, engineering hiring would drop first, but data shows engineering roles are growing faster than others. Nvidia CEO Jensen Huang notes that all engineers use AI tools and are busier than ever. This reflects the Jevons paradox: efficiency gains actually increase demand.