Nadella adopts a grounded perspective on AI's current state. He likens it to past technological revolutions, viewing it as a powerful tool that enhances human intellect and productivity, rather than subscribing to the more mystical 'final revolution' narrative about AGI.

AI's impact on coding is unfolding in stages. Phase 1 was autocomplete (Copilot). We're now in Phase 2, defined by interactive agents where developers orchestrate tasks with prompts. Phase 3 will be true automation, where agents independently handle complete, albeit simpler, development workflows without direct human guidance.

Satya Nadella suggests a fundamental shift in enterprise software monetization. As autonomous AI agents become prevalent, the value unit will move from the human user ("per seat") to the AI itself. "Agents are the new seats," signaling a future where companies pay for automated tasks and outcomes, not just software access for employees.

The primary interface for managing AI agents won't be simple chat, but sophisticated IDE-like environments for all knowledge workers. This paradigm of "macro delegation, micro-steering" will create new software categories like the "accountant IDE" or "lawyer IDE" for orchestrating complex AI work.

The adoption of powerful AI agents will fundamentally shift knowledge work. Instead of executing tasks, humans will be responsible for directing agents, providing crucial context, managing escalations, and coordinating between different AI systems. The primary job will evolve from 'doing' to 'managing and guiding'.

Microsoft CEO Satya Nadella views AI's trajectory in two distinct paths. The first is "cognitive enhancement" tools that assist users, like Copilot. The second, more ambitious path is a "guardian angel," an AGI-like system that oversees and manages tasks. This framework signals a deeper belief in AGI's potential than is commonly associated with him.

The future of software isn't just AI-powered features. It's a fundamental shift from tools that assist humans to autonomous agents that perform tasks. Human roles will evolve from *doing* the work to *orchestrating* thousands of these agents.

Nadella predicts AI's enterprise adoption will be two-pronged. While executives will push top-down projects with clear ROI, the real transformation will be bottom-up. Individual employees will build their own agents to eliminate drudgery, just as lawyers adopted Word and finance teams adopted Excel, making the tools indispensable.

Cursor's founder predicts AI developer tools will bifurcate into two modes: a fast, "in-the-loop" copilot for pair programming, and a slower, asynchronous "agent" that completes entire tasks with perfect accuracy. This requires building products optimized for both speed and correctness.