Simon Willison — 2026-05-11#
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Today’s dispatches heavily focus on the macro consequences of the “agentic era” on the software industry, exploring everything from how coding agents are forcing massive corporate restructurings at GitLab to the stark mathematical reality of AI-generated codebase maintenance debt.
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GitLab Act 2 · Source Simon unpacks GitLab’s recent workforce reduction and structural flattening, which reorganizes their R&D into roughly 60 independent, empowered teams tailored for the agentic era. He highlights GitLab’s Jevons-paradox-inspired outlook: as AI agents collapse the cost and time of producing software, the overall market demand for software—and the builders who make it—will radically multiply. However, Simon pragmatically notes that GitLab has a strong financial incentive to project this optimism, given a recent 50% drop in their stock price and a business model heavily reliant on growing seat-based licenses.