2024 Tech Market Trends of Q2 & Q3
As we navigate the second half of 2024, the tech industry continues to experience significant changes, particularly in the areas of employment, artificial intelligence (AI), and economic adjustments. ProFocus Technology’s Market Trends Report Q2 & Q3 2024 provides an in-depth look at these key developments, highlighting the evolving landscape of tech jobs, economic trends, and the growing demand for AI skills.
The Tech Job Market: Rising Unemployment and Persistent Demand
Despite a rise in tech unemployment to 6.0% and then dipping to 3.8% by the end of Q3, the industry continues to add new workers. In the past year, 20,200+ IT jobs were created, showing that demand persists despite economic uncertainties. However, certain roles, such as software development, cybersecurity, and data analytics, remain difficult to fill, with over 171,000 unfilled positions across the U.S..
AI Job Growth and Emerging Trends
Artificial intelligence continues to dominate tech job openings, with a notable 5.6% rise in AI vacancies from Q1 to Q2 of 2024. This marks a 31.5% increase compared to 2023. The median salary for AI roles reached $157,196 in Q2 2024, showcasing the high demand for specialized skills in this sector.
Economic Shifts: Federal Reserve’s Role in Stabilizing the Market
Amid cooling inflation, the Federal Reserve has maintained interest rates at 5.25%–5.50% until mid-September when they lowered borrowing costs by a half-point, which should bring relief to households and businesses straining under elevated rates. These economic adjustments are expected to ease the pressure on both businesses and households, providing relief to companies strained by the current high borrowing costs.
10/7/24 UPDATE: CompTIA’s deeper dive into the specific data released by the BLS suggests tech unemployment is now at 2.5%. “It was never really a question of if, but when employers were going to resume hiring,” Tim Herbert, chief research officer, CompTIA. “A broad mix of companies viewed recent economic developments as the greenlight to move forward in addressing their tech talent needs.”
