AI-assisted coding has become mainstream, with most organizations now relying on AI to generate or significantly refactor large portions of their software. While leaders report that AI-generated code often appears higher quality during code review and accelerates development, the report finds a disconnect once that code reaches production, where many organizations experience more incidents, rework, and operational complexity. The study emphasizes that sustainable AI-driven development requires more than coding assistants—it depends on robust observability, governance, testing, human oversight, and continuous monitoring to identify runtime issues, manage risk, and ensure AI-generated software performs reliably at enterprise scale.

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