OutSystems, a leader in transforming how companies innovate through software, has unveiled its 2025 State of Application Development report. This global survey of nearly 1,700 IT professionals highlights key obstacles faced by IT teams, the growing role of Generative AI (GenAI) in coding, and the challenges related to security and governance. The findings show that while GenAI is widely adopted for coding tasks, it raises concerns for 62% of respondents. The report also explores the high demand for application development and how low-code platforms are offering solutions to boost productivity and streamline processes.
Key Findings from the 2025 State of Application Development Report
- Rising Demand for Applications
IT teams are under increasing pressure to deliver customer-facing applications, with 74% of organizations planning to build 10 or more apps in the next year. 45% of respondents anticipate developing more than 25 applications over the same period, signaling significant growth in software demands across industries. - GenAI’s Role in Application Development
The report shows that 81% of IT professionals are using GenAI to assist with traditional coding tasks. However, 50% of IT professionals report significant complexities when integrating GenAI into their development workflows. Additionally, 40% of respondents trust GenAI to write code without human oversight, with some tools only producing 65% accurate code on average. - Security and Governance Concerns
Despite the productivity benefits, 62% of respondents express concerns about the security and governance risks associated with using GenAI for coding. As enterprises opt for custom-built software over off-the-shelf solutions, balancing speed and security is critical to success.
The Future of Application Development: Combining GenAI and Low-Code
- GenAI and Low-Code Integration
OutSystems CEO Paulo Rosado emphasized the potential of combining GenAI with low-code development to create a more agile, productive development cycle. Low-code platforms provide predictable, cost-effective solutions that enhance productivity and reduce the risk of delays. The report found that 62% of organizations using low-code were able to consistently predict their budgets, compared to 52% of organizations relying on traditional coding methods. - Benefits of Low-Code Development
Survey respondents with more mature low-code applications noted increased developer productivity (36%), faster time to market (34%), and ease of updating apps (32%). These advantages make low-code a critical tool for organizations looking to meet the growing demand for applications without sacrificing quality or security.
Introducing OutSystems Mentor: A Solution for AI-Driven Software Development
OutSystems has recently introduced OutSystems Mentor, a groundbreaking AI-powered digital worker designed to enhance the entire software development lifecycle (SDLC). By combining low-code technology with GenAI, Mentor allows IT teams to generate fully functional, scalable applications in minutes—while maintaining governance and control throughout the process.
Survey Methodology
OutSystems partnered with Centiment to survey 1,666 global IT professionals in September 2024. Respondents held various roles within their organizations’ IT departments, with the majority in management or senior management positions. Organizations surveyed ranged in revenue from under $10M to over $2.5B, with businesses operating for 1 to 20+ years.