The September 2025 CompTIA Tech Jobs Report captures a clear shift in the direction of the tech workforce.

In August, tech hiring slowed across the U.S., with job postings down in nearly all major occupations and industry areas. Software development and systems engineering, long central to tech hiring, saw some of the sharpest month-over-month declines.

What appears to be a broad market dip is accompanied by growth in select areas, signaling a shift in where employers are focusing.

While demand for many tech positions receded, job postings related to artificial intelligence continued to climb. Employers are scaling back in legacy roles while ramping up their investment in AI capabilities.

Hiring trends increasingly point to a change in priorities, as organizations place greater emphasis on advanced technologies and automation.

Why It Matters: The current hiring shift suggests a deeper change in how tech talent is being prioritized. As employers scale back in established roles, they are reallocating resources toward AI and emerging technologies, reflecting a focus on future capability rather than short-term needs.

• Hiring in Traditional Tech Roles Drops Sharply: August saw steep declines in job postings for core roles. Software Developer and Engineer postings dropped by 6,322, while Systems Engineers fell by 2,181. Sectors like IT and Custom Software Services lost over 3,300 positions. Telecommunications and semiconductor manufacturing also showed employment declines, reinforcing a broader pullback in foundational tech segments.

• AI Talent Demand Continues to Rise: Amid the contraction, Artificial Intelligence Engineer postings rose by 317, making it the only role among the top 10 remote tech jobs to register growth. The AI Hiring Intent Index shows sustained momentum, with postings requiring AI skills steadily increasing since the benchmark month of August 2023.

• Remote Work Opportunities Decline, But Some Cities Buck the Trend: Remote tech job postings dropped by over 4,200 in August, led by declines in software and data roles. However, San Jose and Phoenix defied the trend, with San Jose adding 127 postings and ranking first for AI job concentrations at 10% of national totals.

• Experience Requirements Reflect a Flexing Market: One-third of August job postings didn’t specify experience requirements, which may indicate greater hiring flexibility or evolving role definitions. Among the postings that did include experience levels, 4 to 7 years was most in demand at 29%, followed by 0 to 3 years at 21% and 8 or more years at 16%. This distribution suggests a strong interest in mid-level talent, while also showing openness to early-career and alternative candidates.

• Non-Degree Pathways Remain Strong: A large share of active postings in August did not require a four-year degree, which may indicate continued employer interest in accessible talent pipelines. Among the roles most likely to waive this requirement, Network Support Specialists led at 87%, followed by Tech Support Specialists at 76%. Other positions, such as Web Developers and Database Administrators, also showed high percentages.

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