“This isn’t autocomplete. It’s an AI that understands the backlog, writes the tests, and ships the PR. It’s not a sidekick. It’s becoming the dev.”
Gino Ferrand, writing today from Santa Fe, New Mexico 🌞
In the beginning, it just completed your sentences.
A stray function name. A boilerplate loop. A quick regex fix. The early autocomplete tools, let’s call them Gen 1, were like overachieving Clippy clones: helpful, occasionally annoying, and always subordinate.
Then came Gen 2.
The in-IDE agents. Codex, Copilot X, Claude in the file tree. These weren’t just suggestion machines. They could modify files, run tests, track changes, and debug live code. Developers started treating them less like a typing assistant and more like junior teammates. Still fallible, still fuzzy, but surprisingly fast. You gave it a function spec, and five minutes later, it gave you a pull request.
But now, a third wave is forming. And it’s not just about writing code anymore.
Gen 3 is here, and it’s coming for the SDLC
TechRadar recently laid out the evolution clearly: AI coding tools are now expanding their reach beyond the editor and into the entire software lifecycle. These new agents don’t just write code. They prioritize tickets, manage testing pipelines, initiate deployments, and even analyze post-merge telemetry. They're not pair programmers anymore. They’re end-to-end software delivery agents.
Backlogs, not breakpoints. This generation is API-connected, repo-aware, and DevOps-friendly. They plug into Jira, trigger builds in GitHub Actions, and push fixes through CI/CD. Some are even watching Slack and proactively filing issues. They aren’t assistants. They’re teammates with read/write access to the entire delivery pipeline.
And that should raise some eyebrows.
The architecture is shifting underneath us
This transition from Gen 2 to Gen 3 isn’t just a tooling update. It is an architectural shift. Much like serverless abstracted away the infrastructure layer, Gen 3 agents are starting to abstract away the orchestration layer, the logic that used to sit in a tech lead’s brain, a project manager’s spreadsheet, or a developer’s muscle memory.
Where Gen 2 was a tool, Gen 3 is a process manager.
Instead of a dev pushing code and checking the box, the agent checks the backlog, writes the code, runs the tests, and closes the ticket. Human review optional. Sometimes the only human involvement is approving the merge.
So what’s the catch?
Let’s start with the obvious. AI still breaks things. Hallucinations haven’t gone away. As we saw in “The First Security Crisis of the AI Coding Era,” these systems still confidently generate insecure code 65% of the time on first pass.
But there’s a deeper concern too. One that’s more structural.
When the agent owns the pipeline, the human loses visibility. If you don’t know why a ticket was picked, why a fix was deployed, or what test coverage was deemed “good enough,” then you’re not leading the process anymore. You’re reacting to it.
Some orgs will love that. Others will quietly panic.
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Leadership will have to evolve, again
In “The New Role of Eng Leadership in an AI World,” we talked about how engineering managers are becoming curators of AI output, not just project overseers. That shift is now accelerating.
If Gen 3 agents are running parts of the SDLC, then leaders need new skills: workflow observability, prompt auditability, and agent governance. It is no longer just about code quality. It is about system behavior. Is the agent doing what it is supposed to? Can you prove it? Can you stop it when it shouldn’t?
We are heading into a world where engineering leaders don’t just manage humans. They manage AI-driven systems that write, test, and ship software at scale.
The line is blurring. Fast.
The old dichotomy, developer versus tool, is breaking down. Gen 3 agents aren’t tools in the traditional sense. They make decisions. They manage flow. They introduce bugs. And they get blamed when things go wrong.
Which raises the question: Who owns the work now?
And perhaps more urgently: If the agent runs the sprint, what is the human role in the loop?
We are not just rewriting code anymore. We are rewriting the nature of collaboration itself.
More to come…
Recommended Reads
✔️ Turning creators into curators: AI implementation in DevOps (TechRadar)
✔️ AI Agents Are Revolutionizing the Software Development Life Cycle (ValueCoders)
– Gino Ferrand, Founder @ Tecla