The 18th annual State of Agile Report released by Digital.ai is a significant milestone in the field of software development, marking a substantial transformation in how Agile methodologies are being applied across enterprises. This report is highly regarded as the world’s longest-running and most detailed study on Agile adoption and its implications in the realm of software development.
Central to the findings of this year’s report is the emergence and integration of Artificial Intelligence (AI) into Agile practices, signaling the start of what Digital.ai refers to as the Fourth Wave of software delivery. This new wave represents a shift from AI being merely a supportive tool in software development to becoming an orchestrator of the entire delivery lifecycle. AI’s role has expanded from being research-oriented to now permeating all aspects of the enterprise, actively transforming the way organizations plan, build, test, secure, and release software.
This evolution of AI within Agile processes underlines a reorientation towards Agile’s foundational goal: to enable organizations to adapt swiftly to changes and deliver innovations that strongly align with business objectives. Artificial Intelligence now plays a pivotal role in envisioning and delivering software, necessitating enterprises to rethink their technological investments and align them more closely with measurable business outcomes. The report emphasizes the deployment of governance models designed to ensure transparency in data and decision-making processes across organizations.
A notable point from the report is the escalating pressure on organizations to demonstrate the return on investment (ROI) from Agile methodologies. With AI adoption noted at 84%, early adopters are working to establish robust data foundations and governance mechanisms to connect Agile practices directly to business results. Despite this forward movement, the report highlights a significant challenge: many organizations feel the pressing need to deliver more with fewer resources while maintaining accountability and reliability in their outputs.
From an operational standpoint, several trends are reshaping Agile to better suit contemporary needs. Among these, the use of agentic AI—intelligent systems capable of autonomous decision-making and coordination—is on the rise. These AI systems go beyond basic assistance, increasingly taking an active role in orchestrating workflows, detecting risks, and governing processes without constant human oversight. This shift points towards a more agentic form of Agile, where human teams and AI agents collaborate seamlessly to enhance decision-making, mitigate risks, and foster continual adaptation throughout the software development lifecycle.
Digital.ai coins the term “Agentic Agile Planning” to describe this emerging model where the synergy between human cognitive skills and AI capabilities leads to a more dynamic and responsive approach to planning, coding, testing, and delivering software. CEO Derek Holt underscores the critical role of reliable data in this transition, noting that AI’s potential as a force multiplier for Agile can only be fully realized when backed by solid measurement, governance, and alignment with leadership.
The 2025 State of Agile survey, which forms the basis of this report, gathered insights from nearly 350 participants, primarily Agile coaches and consultants from large enterprises employing over 20,000 people. This broad base of respondents underscores the depth and relevance of the findings, providing a comprehensive overview of how AI and Agile are converging to transform enterprise software development.
Digital.ai emerges in this context not only as the provider of the AI-powered software delivery platform but also a leader in helping enterprises navigate the complexities of digital transformation. With its suite of services and solutions, Digital.ai aims to empower the largest global organizations to produce, secure, test, and deliver high-quality software, capitalizing on AI-driven insights and automation to bolster innovation delivery within an increasingly digital world.
In summary, the 18th State of Agile Report from Digital.ai highlights a crucial evolution in software development practices, with AI-driven Agile methodologies paving the way for enhanced software delivery and greater alignment with overarching business goals. As organizations increasingly embed AI into their workflows, Agile is evolving into a more robust, dynamic, and business-oriented framework, capable of driving substantial returns in an era characterized by rapid technological advancement and growing operational demands. The insights from this report provide a roadmap for organizations aiming to leverage AI to enhance their Agile practices and, ultimately, their business outcomes.
Read the full post on digital.ai
Do You Want To Learn Scrum & Agile?
Learn Scrum & Agile at lost cost and online. Our 5-star rated Ultimate Scrum & Agile eLearning Courses can take you from beginner to advanced at your own pace.
Prepare and practice for the assessments from the major Scrum & Agile providers. Our 5-star rated Ultimate Scrum & Agile Practice Assessments will help you gain certification.
About TheScrumMaster.co.uk
