For two years the story was simple: AI would wipe out tech jobs. The latest numbers on the tech job market tell a different story. Open roles at tech companies are climbing, layoffs are slowing, and employer demand for IT workers just hit a three-year high.

I'm Nitin Kumar, Lead Project Coordinator at Debugged Pro. Hiring and staffing developers for clients in India and the USA is a big part of my week, so I read this data closely. Below I break down what the new reports say, where the demand is, and what agencies and businesses should do next.

Technician walking between server racks inside Meta's data center in Temple, Texas — AI infrastructure spending is driving demand for hardware engineers. A tour of Meta's data center in Temple, Texas. Image credit: Mikala Compton/The Austin American-Statesman via Getty Images, via Business Insider

What the Latest Tech Job Market Data Shows

Two fresh data sets landed in the past few days. They measure different things, but they point the same way.

TrueUp: more open roles, fewer layoffs

Business Insider's Alistair Barr reported new figures from TrueUp, a hiring platform that tracks more than 9,000 tech companies. You can read the full Business Insider report on rising tech job openings, published October 4, 2026.

Open roles: TrueUp is tracking more than 280,000 open tech jobs across startups and big tech firms. That is up strongly from the start of 2026.
Layoffs: About 190,000 tech workers have been laid off so far this year.
Context: That puts 2026 on track to finish well below the roughly 430,000 job cuts at the 2023 peak.

Layoffs haven't stopped. They are just happening at a much slower pace than during the post-pandemic reset.

CompTIA: job postings at a three-year high

The second source is the monthly CompTIA Tech Jobs Report, released October 2. It combines U.S. Bureau of Labor Statistics data with job posting data from Lightcast. For September, CompTIA found:

272,040 new openings for IT occupations, up 16% from September 2025.
625,633 active postings, the highest total in more than three years and up 22.4% year over year.
Sixteen of the 20 industries CompTIA tracks posted more tech jobs than in August.
23 of the 30 highest-volume tech occupations saw month-over-month gains.

Here are the headline numbers side by side.

Metric	Latest figure	Source
Open tech jobs tracked	More than 280,000	TrueUp
Tech layoffs in 2026 so far	About 190,000	TrueUp
Tech layoffs at the 2023 peak	About 430,000	TrueUp
New IT job postings, September	272,040 (up 16% year over year)	CompTIA
Active IT job postings, September	625,633 (up 22.4% year over year)	CompTIA
Active postings asking for AI skills	349,821	CompTIA
Tech occupation unemployment rate	3.3% (national rate 4.2%)	CompTIA

Where the Hiring Demand Is Going

The recovery is not even. Some roles are hot, some are flat, and some teams are still shrinking.

Hardware engineers are the big winners

TrueUp says demand for hardware engineers has surged this year. The driver is heavy spending on AI infrastructure, such as chips, servers, robotics, manufacturing and data centers.

"It's not surprising given the interest in GPU innovation, AI robotics, US manufacturing startups, and SpaceX," TrueUp founder Amit Taylor told Business Insider.

Software developers are holding steady

This is the part that surprised many people. Software engineering listings have held up well, even with all the talk about AI coding tools replacing programmers.

CompTIA's data backs that up. Software developers and engineers were the most wanted tech workers in September, with 47,598 new openings, up 8.3% from August. Next on the list were:

Systems engineers
Tech support specialists
Data analysts
DevOps engineers

AI skills are spreading into normal jobs

The biggest shift is inside job descriptions. Active postings that ask for AI-related skills reached 349,821 in September, up 32,327 from August. CompTIA says that number has grown about 282% since May 2024.

Dedicated AI and machine learning job titles are growing too, but they are still a small slice. CompTIA counted 13,636 active postings in that group, nearly triple the May 2024 level.

So most companies are not hiring "AI people" as a separate team. They want developers, analysts and support staff who can also work with AI tools.

Recruiter holding a We're Hiring flyer at a job fair booth — Employer demand for tech talent hit a three-year high in September, according to CompTIA. Image credit: Joe Raedle via Getty Images, via CIO Dive

Why the Tech Job Market Is Not Fully Healthy Yet

More job ads do not automatically mean more people getting hired. The same CompTIA report has some softer numbers that are easy to miss.

Employment in the tech sector fell by an estimated 10,350 positions in September.
Tech occupation employment across all industries dropped by roughly 6,000.
Unemployment for tech workers rose to 3.3%, up from 3.1% in August, CIO Dive reported. It is still below the national rate of 4.2%.

"Even in an environment where employers remain generally cautious about hiring, there is still strong demand for the core IT skills that can help companies build digital discipline and advance AI adoption," said Seth Robinson, vice president of research at CompTIA.

Robinson also told CIO Dive that the jump in active postings suggests "the gap between demand and supply is not only still there, but it's maybe growing a little bit."

My read: companies are posting roles because they need the work done. But they are slow to commit to full-time headcount. That gap between posting and hiring is where outside teams often step in.

The Long-Term Outlook for Developers

Monthly data jumps around, and CompTIA itself warns that monthly figures can be revised. The longer view from the government is steadier.

The U.S. Bureau of Labor Statistics outlook for software developers projects 10% employment growth for software developers, QA analysts and testers from 2025 to 2035. That is much faster than the 3% average for all jobs. BLS expects about 106,100 openings in this group each year over the decade.

BLS also notes that 29% of software developers work in computer systems design and related services. In plain terms, that is agencies, consultancies and IT service firms like ours. The median annual wage for software developers was $135,980 in May 2025.

What the Tech Job Market Means for Agencies in India and the USA

For agencies, this data is mostly good news, with a catch. Demand for software work is strong. But the experienced engineers you need are in demand everywhere else too.

For businesses and agencies in the USA

Expect competition for senior talent. With active postings at a three-year high, good engineers will get several offers.
Look beyond the usual pools. Glassdoor chief economist Daniel Zhao told CIO Dive that employers can look at people affected by layoffs in other industries.
Use flexible capacity. If leadership is cautious about full-time headcount, a contract or offshore team can cover the gap without a long commitment.

For agencies and teams based in India

Show AI skills on real projects. USA clients are asking for AI skills inside normal roles. Put examples in proposals, not just a line in a skills list.
Keep core skills sharp. Software development, systems work, support, data and DevOps are still the top roles in demand.
Offer overlap hours and fast ramp-up. Clients that cannot hire fast enough want a team that can start in days, not months.

We saw a similar pattern with the rush for embedded AI engineers, which I covered in our forward deployed engineer guide for agencies. Companies want people who can ship real systems, and they are short on them.

How to Plan Hiring in This Tech Job Market

Here is the practical plan I would suggest for a small or mid-sized agency, or any business with a software roadmap.

Map your next six months of work. List the projects and the skills each one needs. Be specific about AI work.
Split core and flexible roles. Keep product owners and senior engineers in-house. Use contract or partner teams for spikes.
Train your current team on AI tools. It is cheaper than hiring a new specialist for every AI task, and it matches what employers now ask for.
Build a vetted bench. Keep a short list of developers you have already tested, so you can staff a new project quickly.
Write tighter job descriptions. Name the AI tools and tasks clearly. Vague "AI experience" requests attract the wrong people.
Review every quarter. The data moves fast. Check the CompTIA report and your own pipeline each quarter and adjust.

A quick example

Say a USA retail client wants a new order tracking app with an AI support assistant in three months. Hiring three full-time engineers in this market could take most of that time.

A blended team works better. One senior in-house lead owns the product, and a remote team in India handles the build, testing and the AI integration. The client keeps control, and the work starts in weeks.

If you need to add capacity like this, you can hire dedicated developers online through Debugged Pro. Our software development consulting team can also help you plan team structure, AI features and delivery for projects in India and the USA.

Key Takeaways

The tech job market is recovering. TrueUp tracks more than 280,000 open tech roles, up strongly since January.
About 190,000 tech workers have been laid off in 2026, well below the roughly 430,000 at the 2023 peak.
CompTIA counted 625,633 active IT postings in September, a three-year high.
Hardware engineers are in high demand, and software developer listings are holding up.
AI skills now show up in about 350,000 active job ads, mostly inside regular roles.
Actual hiring is still cautious, which creates room for agencies with ready, vetted teams.

FAQ: Tech Job Market 2026

Is the tech job market improving in 2026?

The data points that way. TrueUp tracks more than 280,000 open tech jobs, up strongly from the start of 2026, and CompTIA counted 625,633 active IT job postings in September, the highest in more than three years. Hiring itself is still cautious, so it is a recovery in demand more than a hiring boom.

Is AI reducing demand for software developers?

Not so far, based on posting data. Software engineering listings have held up well according to TrueUp, and CompTIA reported 47,598 new software developer and engineer openings in September, up 8.3% from August. What is changing is the skill mix, with AI skills showing up in far more job ads.

How many tech workers have been laid off in 2026?

TrueUp counts about 190,000 tech layoffs so far in 2026. That puts the year on track to finish well below the roughly 430,000 job cuts recorded at the 2023 peak.

Which tech roles are most in demand right now?

CompTIA lists software developers and engineers first, followed by systems engineers, tech support specialists, data analysts and DevOps engineers. TrueUp also reports a surge in demand for hardware engineers tied to AI infrastructure spending.

What should agencies in India and the USA do about the tech job market?

Plan for steady competition for experienced engineers. Add AI skills to your existing teams, keep a bench of vetted developers for client spikes, and price projects around outcomes. Agencies that can staff quickly with proven people will win more of the work that companies cannot hire for fast enough.

About the Author

Nitin Kumar is Lead Project Coordinator at Debugged Pro. He plans software projects and builds delivery teams for clients in India and the USA, with a focus on developer staffing, AI features and on-time handover.