Devsu Named in Gartner Guide for AI Code Modernization

- The market for AI-powered application modernization was valued at USD 5.67 billion in 2024 and is projected to grow to USD 33.38 billion by 2032. Gartner predicts that by 2029, 90% of all software modernization projects will utilize AI-augmented tools, a significant increase from less than 20% today. - Devsu's Velx is not a publicly available tool but an internal, proprietary AI engine used by its engineering teams to accelerate client projects. It is composed of specialized agents: Velx Explorer for system analysis, Velx Architect for designing target architecture, and Velx Coder for code transformation. - In case studies, the Velx platform has been shown to reduce the initial system discovery and assessment phase from 3-6 months to under 3 weeks and cut implementation time by up to 75%. - Founded in 2010 by Cesar Salazar and Felipe Cornejo, Devsu is an unfunded company that has grown to an estimated annual revenue of $37.3 million. - A Gartner Market Guide is designed to analyze emerging markets with offerings that are still in flux, outlining representative vendors rather than competitively ranking them as in a Magic Quadrant. - Gartner's guidance highlights a market shift from "AI-assisted" copilots toward more "agentic AI"—autonomous agents that can execute end-to-end tasks with less human intervention. - While projecting that generative AI will reduce modernization labor costs by 33% by 2029, Gartner also warns that human oversight remains essential to manage risks like AI model "hallucinations" and subtle, context-deficient code defects.