Computer Programming Services

The 62,773 computer programming services firms in the US develop custom computer programs designed for clients’ specific needs. Services include developing application software, software analysis and design, software support, and web page design.

Off-shore Outsourcing

Clients attempting to reduce costs often look to foreign providers of programming services.

Highly Skilled Labor

Because of the complexity of IT systems and computer programming, firms rely on a staff of highly-skilled, educated professionals, including computer programmers, software engineers, and project managers.

Nov 4, 2026 - AI Takes On Critical Legacy Programming Languages

• OpenAI reported promising results migrating COBOL code to more modern programming languages including C++, Java, Kotlin, Python, and Rust, according to The Verge. Replacing COBOL is very difficult, according to The Verge. The same is true for other legacy programming languages, like Fortran, still in use today for everything from scientific computing and weather forecasting to atmospheric and ocean studies and codes critical to nuclear security. These systems are often too important to risk breaking, and many of the programmers who understand them have long since retired. COBOL is the foundation for more than 40% of online banking systems, supports 80% of in-person credit card transactions, and handles 95% of ATM transactions, according to IBM.
• The computer programming industry is evolving as AI and entry-level jobs become harder to find, according to the Los Angeles Times. Most recent college and university programming graduates ultimately get jobs but the employers hiring are increasingly smaller businesses looking for help figuring out what to do with AI rather than technology giants. Tech giants like Microsoft, Meta, and Google are turning to AI for a larger share of the code writing, and big employers like Amazon are laying off as spending on AI accelerates. Far fewer jobs in software development are being posted, according to a Federal Reserve analysis of Indeed job search site data.
• A third of small business owners have built their own software to solve operational challenges, according to AI software platform firm Emergent's Age of Custom Software Index 2026. Software is often built in house due to the cost of outsourcing, according to Emergent. Operators who asked a development agency what a basic custom build would cost reported a median quote of $20,000, with some quoted $100,000 and timelines running beyond a year.
• Computer programming industry employment decreased slightly and average wages for nonsupervisory employees increased slightly during the first seven months of 2026, according to the US Bureau of Labor Statistics. Computer programming service industry revenue increased 5.8% year over year and 0.5% quarter over quarter in the fourth quarter of 2025, according to the US Census Bureau. Computer programming service industry sales are forecast to grow at a 4.27% compounded annual rate from 2026 to 2030, comparable to the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.

Industry size & Structure

A typical computer programming services firm operates out of a single location, employs 17 workers, and generates about $5 million annually.

• The computer programming services industry consists of about 62,773 companies that employ over 1.1 million workers and generate about $315 billion annually.
• Many individual programmers provide contracted services and operate as non-employer firms (these firms are not included in industry revenue data).
• Large companies include Cognizant Technology Solutions and Perficient. Major companies based outside of the US include Infosys Technologies and Tata Consultancy Services, both located in India.