---
title: "24 internal tool development statistics for 2027"
description: "Discover 24 internal tool development statistics for 2027, covering engineering time, AI adoption, platform engineering, development costs, and productivity trends."
image: "https://hercules.app/blog/internal-tool-development-statistics/opengraph-image"
---

# 24 internal tool development statistics for 2027

Discover 24 internal tool development statistics for 2027, covering engineering time, AI adoption, platform engineering, development costs, and productivity trends.

- **Author:** [Grant Gurvis](https://hercules.app/blog/authors/grant)
- **Tag:** Company
- **Published:** 2026-11-10
- **URL:** https://hercules.app/blog/internal-tool-development-statistics

Internal tools take up a large share of engineering time. In a 2023 survey, IT and engineering leaders said their teams spent [40% of their time](https://www.prnewswire.com/news-releases/survey-it-and-engineering-teams-spend-40-of-their-time-building-and-maintaining-internal-tools-and-workflows-distracting-from-building-products-that-actually-drive-business-revenue-301733700.html) building and maintaining internal tools and workflows. AI-powered no-code platforms like Hercules let business teams build internal apps by describing what they need instead of writing code.

Companies are also working to make software development faster. Port's 2024 report found that [99% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) had begun using platform engineering, while [almost 85%](https://www.port.io/state-of-internal-developer-portals-2024) had started or planned to implement internal developer portals. These findings show why businesses are looking for faster ways to build and maintain internal tools.

## **Key takeaways**

- **Internal tools take engineering time:** A 2023 survey found that teams spent [40% of their time](https://www.prnewswire.com/news-releases/survey-it-and-engineering-teams-spend-40-of-their-time-building-and-maintaining-internal-tools-and-workflows-distracting-from-building-products-that-actually-drive-business-revenue-301733700.html) building and maintaining them.
- **Developer independence helps productivity:** DORA linked greater independence to a [5% productivity improvement](https://dora.dev/capabilities/platform-engineering/) for individuals and teams.
- **Platform engineering is common among surveyed teams:** Port found that [99% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) had begun adopting it.
- **Internal developer portals are gaining ground:** Almost [85% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) had started implementing a portal or planned to within a year.
- **Software releases can take weeks:** [68% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) reported deployment lead times of several weeks or months.
- **Developers continue building internal tools:** Stack Overflow found that [63% of respondents](https://survey.stackoverflow.co/2026/technology/data/build-tool) had built or planned to build team-level tools.

### **1. Engineering teams spend 40% of their time on internal tools**

A 2023 survey of 500 U.S. IT and engineering leaders found that teams spent [40% of their time](https://www.prnewswire.com/news-releases/survey-it-and-engineering-teams-spend-40-of-their-time-building-and-maintaining-internal-tools-and-workflows-distracting-from-building-products-that-actually-drive-business-revenue-301733700.html) building and maintaining internal tools and workflows. That leaves less time for customer-facing products. Letting business teams build some of their own tools could reduce the workload for engineers.

### **2. 76% say internal tools distract from revenue-generating products**

In the same 2023 survey, [76% of respondents](https://www.prnewswire.com/news-releases/survey-it-and-engineering-teams-spend-40-of-their-time-building-and-maintaining-internal-tools-and-workflows-distracting-from-building-products-that-actually-drive-business-revenue-301733700.html) said necessary internal tool work distracted their teams from building products that generate revenue. The result reflects leaders' views, not a measured revenue loss. It shows how internal development can compete with work for customers.

### **3. 70% say developers spend 3–4 hours daily on non-core work**

Port's 2024 report found that [70% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) said developers spent three to four hours a day on non-core tasks because of gaps in platform engineering. Its survey covered 100 engineering professionals. This work can include switching between tasks, waiting on other teams, and managing infrastructure. Shared development tools can reduce some of that work.

### **4. Developer independence is linked to 5% higher productivity**

DORA's 2024 research linked developer independence to a [5% productivity improvement](https://dora.dev/capabilities/platform-engineering/) for individuals and teams. Independence means developers can finish tasks without waiting for another team. No-code platforms can give business users similar control over their own tools, although DORA did not measure no-code productivity.

### **5. Gartner forecast 80% platform engineering adoption by 2026**

Gartner forecast that [80% of large organizations](https://www.gartner.com/en/infrastructure-and-it-operations-leaders/topics/platform-engineering) involved in software engineering would have platform engineering teams by 2026, up from 45% in 2022. These teams provide shared tools, infrastructure, and services for developers. The 80% figure was a forecast, not a confirmed adoption rate.

### **6. 99% of surveyed organizations had begun platform engineering**

Port's 2024 report found that [99% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) said their organizations had begun using platform engineering, which gives developers shared tools and processes. The report drew on an October 2023 survey of 100 engineering professionals at organizations with at least 150 developers in the U.S. and Western Europe. The result does not represent all businesses.

### **7. Almost 85% had started or planned internal developer portals**

Almost [85% of surveyed organizations](https://www.port.io/state-of-internal-developer-portals-2024) had started implementing an internal developer portal or planned to do so within a year, according to Port's 2024 report. These portals bring software components, documentation, and deployment tools into one place. The figure includes planned projects, not just portals already in use.

### **8. 68% report software deployment times of weeks or months**

In Port's 2024 survey, [68% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) said deploying software to production typically took several weeks or months. Long release times can delay changes that business teams need. Shared development and deployment tools can help remove some of these delays.

### **9. 44% adopt developer portals to avoid repeated work**

Preventing repeated work was a top reason for adopting an internal developer portal, cited by [44% of respondents](https://www.port.io/state-of-internal-developer-portals-2024) in Port's 2024 survey. Without shared tools and documentation, engineers may repeat tasks that other teams have already completed. A central portal can make reusable resources easier to find.

### **10. 63% build or plan to build team-level internal tools**

Stack Overflow's 2026 Developer Survey found that [63% of respondents](https://survey.stackoverflow.co/2026/technology/data/build-tool) had built or planned to build team-level internal tools. The question covered 13,338 people and included work done in the previous year or planned for the next year. These tools support team workflows, automation, and daily operations.

### **11. More than 80% of technology professionals report AI productivity gains**

Google's 2025 DORA report found that [over 80% of respondents](https://cloud.google.com/blog/products/ai-machine-learning/announcing-the-2025-dora-report) believed AI had improved their productivity. Nearly 5,000 technology professionals worldwide took part in the research. The finding reflects what participants reported, rather than a measured increase in output at every company.

### **12. 90.6% of software companies use AI to reduce development costs**

GoodFirms' 2026 survey found that [90.6% of companies](https://www.goodfirms.co/resources/custom-software-development-cost-survey) had adopted AI to help reduce development costs. The study covered more than 100 software development companies worldwide. AI can support planning, coding, and testing, but adoption does not mean every company has achieved measurable savings.

### **13. 86% cite changing requirements as a recurring challenge**

Changing client requirements were a recurring challenge for [86% of respondents](https://www.goodfirms.co/resources/custom-software-development-cost-survey) in GoodFirms' 2026 survey of more than 100 software companies. Changes can force developers to redo features, run tests again, and adjust launch dates, even when the original project goals were clear.

### **14. 65.6% say scope creep adds 10–25% to project costs**

In GoodFirms' 2026 survey, [65.6% of respondents](https://www.goodfirms.co/resources/custom-software-development-cost-survey) said scope creep typically raised development costs by 10–25%. Scope creep means adding work beyond the original project plan. This is an estimate reported by development firms, not a fixed increase. Agreeing on requirements and approving changes can help control costs.

### **15. 42.6% cite launch deadlines as a development cost driver**

GoodFirms' 2026 survey found that [42.6% of companies](https://www.goodfirms.co/resources/custom-software-development-cost-survey) saw pressure to launch quickly as a major development cost driver. Tight deadlines may require more staff, faster work, or changes to project scope. A realistic schedule helps teams balance cost, speed, and quality.

### **16. Gartner forecast a 4:1 citizen-developer ratio by 2023**

Gartner previously forecast that citizen developers would outnumber professional developers at large enterprises by a [4:1 ratio](https://www.cio.com/article/196159/how-to-harness-the-promise-of-citizen-developers.html) by 2023. Citizen developers are employees who build apps or workflows without working as software developers. This was a past forecast, not proof that the ratio was reached.

### **17. Gartner forecast 80% of technology products would be built outside IT by 2024**

In 2021, Gartner forecast that [80% of technology products](https://www.gartner.com/en/newsroom/press-releases/2021-06-10-gartner-says-the-majority-of-technology-products-and-services-will-be-built-by-professionals-outside-of-it-by-2024) and services would be built by people outside traditional IT roles by 2024. The forecast pointed to a growing role for business teams in creating technology. It does not confirm that 80% was reached.

### **18. 26% of business-area staff work on technology outside IT**

Gartner's 2024 survey found that an average of [26% of staff](https://www.gartner.com/en/newsroom/press-releases/2024-10-22-gartner-survey-reveals-that-only-48-percent-of-digital-initiatives-meet-or-exceed-their-business-outcome-targets) in business areas outside corporate IT worked on building, implementing, or managing technology. The research included more than 3,100 technology executives and 1,100 executives outside IT. These employees are involved in technology work, but not all are citizen developers.

### **19. 18.6% build or plan tools to replace paid vendors**

Stack Overflow's 2026 Developer Survey found that [18.6% of respondents](https://survey.stackoverflow.co/2026/technology/data/build-tool) had built or planned to build software to replace paid vendors. The question covered 13,338 developers. Building in-house can give teams more control over their workflows, but they also take on maintenance, security, and support.

### **20. Custom software projects cost $132,480 on average**

Clutch's 2026 pricing guide reported an [average cost of $132,480](https://clutch.co/developers/pricing) for software projects reviewed on its platform. The cost of an internal tool depends on its features, integrations, development team, and scope. This average covers reviewed projects on Clutch, not every software project worldwide.

### **21. Software development projects take about 13 months**

Software projects reviewed on Clutch took [about 13 months](https://clutch.co/developers/pricing) to complete, according to its 2026 pricing guide. Complex projects may need more time for planning, development, testing, and launch. This is a benchmark from client reviews, not a standard timeline for every internal tool.

### **22. 65.7% price medium-sized projects between $30,000 and $100,000**

GoodFirms' 2026 survey found that [65.7% of software firms](https://www.goodfirms.co/resources/custom-software-development-cost-survey) priced medium-sized projects between $30,000 and $100,000. The same report estimated three to six months of development for this type of project. These are estimates from more than 100 surveyed companies, not verified final invoices.

### **23. Organizations estimate 29% of cloud spending is wasted**

Respondents to Flexera's 2026 State of the Cloud Report estimated that [29% of cloud spending](https://www.flexera.com/about-us/press-center/flexera-finds-cloud-value-is-rising-while-ai-waste-grows) on infrastructure and platform services was wasted. Unused resources and poorly managed cloud setups can increase operating costs. The figure reflects organizations' estimates, not an independent review of all cloud spending.

### **24. U.S. software developers earned a median $135,980 in 2025**

U.S. software developers earned a [median wage of $135,980](https://www.bls.gov/ooh/computer-and-information-technology/software-developers.htm) a year in May 2025, according to the Bureau of Labor Statistics. This is employee pay, not the full cost of hiring developers or an agency's project rate. Benefits, recruiting, equipment, and maintenance can add to development costs.

## **How Hercules helps businesses build internal tools faster**

[Hercules](https://hercules.app/) is an AI-powered no-code app builder that lets businesses create internal software by describing what they need. Teams can build customer relationship management (CRM) systems, enterprise resource planning (ERP) software, and other apps that manage data, access, and workflows without hiring developers for every project.

Hercules includes tools for building and running business applications:

- **Database:** Store business data in a managed database, with [scheduled database backups](https://hercules.app/changelog/schedule-database-backups) available on the Business plan.
- **Backend:** Run functions when users take actions, on a schedule, or through an API call.
- **User access:** Support social sign-in, email codes or passwords, and different user permissions.
- **Integrations:** Connect apps to [250+ external services](https://hercules.app/changelog/app-integrations). App Integrations is in early access and subject to availability.
- **Publishing:** Launch apps on supported domains without managing your own servers.

Customers report using these features to replace manual work and build tools around their operations. [Petony Transportes](https://hercules.app/customers/petony-transportes) launched its logistics ERP in two months instead of the eight months an agency quoted. [MMA Plumbing](https://hercules.app/customers/mma-plumbing) built a 46-module operating system after receiving agency quotes of at least €250,000. [Imjomat](https://hercules.app/customers/imjomat) reports saving 2,000 team hours a month, while [Kingdom Construction](https://hercules.app/customers/kingdom-texas) reports saving $30,000 a year after replacing four vendors. These are customer-reported results, not guarantees.

Hercules manages core cloud infrastructure, but you still need to test your apps, set permissions, and meet relevant requirements. Commercial use, including internal business apps, requires a [Business or Enterprise plan](https://hercules.app/legal/terms-of-service). AI Credits and Cloud Credits are separate, and extra usage charges may apply. Check the [current plan pricing](https://hercules.app/pricing) before choosing a plan.

## Frequently asked questions

### What are internal tools and why do businesses invest in them?

Internal tools are apps that employees use to run a business, such as CRMs, ERPs, dashboards, inventory systems, and workflow tools. They help teams manage work, share information, and reduce manual tasks. A 2023 survey found that IT and engineering teams spent [40% of their time](https://www.prnewswire.com/news-releases/survey-it-and-engineering-teams-spend-40-of-their-time-building-and-maintaining-internal-tools-and-workflows-distracting-from-building-products-that-actually-drive-business-revenue-301733700.html) building and maintaining these tools and workflows.

### How much time do engineering teams spend on internal tools?

A 2023 survey found that IT and engineering teams spent [40% of their time](https://www.prnewswire.com/news-releases/survey-it-and-engineering-teams-spend-40-of-their-time-building-and-maintaining-internal-tools-and-workflows-distracting-from-building-products-that-actually-drive-business-revenue-301733700.html) building and maintaining internal tools. In a separate 2024 survey, [70% of engineering respondents](https://www.port.io/state-of-internal-developer-portals-2024) said developers spent three to four hours daily on non-core work because they lacked platform engineering tools. These findings come from different surveys and measure different types of work.

### How much faster can businesses build internal tools with Hercules?

[Petony Transportes](https://hercules.app/customers/petony-transportes) says it built its logistics ERP on Hercules in two months instead of the eight months quoted by an agency. That was 75% less time than the estimate, although the agency did not build the same app for a direct comparison. Your timeline will depend on the app's features, integrations, and testing needs.

### What cost savings do organizations report with Hercules?

[MMA Plumbing](https://hercules.app/customers/mma-plumbing) built a 46-module operating system after receiving development quotes of at least €250,000. [Kingdom Construction](https://hercules.app/customers/kingdom-texas) reports saving [$30,000 a year](https://hercules.app/customers/kingdom-texas) by replacing four software vendors. These are customer-reported avoided costs and subscription savings, not guaranteed net savings. Subscriptions, cloud usage, testing, and maintenance still affect total costs.

### Can businesses build complex internal applications with Hercules?

Yes.[ Petony Transportes](https://hercules.app/customers/petony-transportes) built a logistics ERP that manages about [400 loads monthly](https://hercules.app/customers/petony-transportes).[ MMA Plumbing](https://hercules.app/customers/mma-plumbing) built a [46-module operating system](https://hercules.app/customers/mma-plumbing), and[ Helixon Law Firm](https://hercules.app/customers/helixon-law) has built [more than 40 applications](https://hercules.app/customers/helixon-law). These examples show how businesses use Hercules for daily operations. You still need to assess access controls, testing, ongoing costs, and whether the platform meets your needs.

```json
[
  {
    "@context": "https://schema.org",
    "@type": "BlogPosting",
    "headline": "24 internal tool development statistics for 2027",
    "description": "Discover 24 internal tool development statistics for 2027, covering engineering time, AI adoption, platform engineering, development costs, and productivity trends.",
    "image": "https://hercules.app/blog/internal-tool-development-statistics/opengraph-image",
    "datePublished": "2026-11-10",
    "dateModified": "2026-11-10",
    "author": [
      {
        "@type": "Person",
        "name": "Grant Gurvis",
        "givenName": "Grant",
        "familyName": "Gurvis",
        "url": "https://hercules.app/blog/authors/grant",
        "description": "Founder / CTO at Hercules",
        "image": "https://cms-media.hercules.app/57bfc56c-7f2d-4fe2-8cce-32e433d6faca/Grant%20Gurvis%20Headshot-original",
        "sameAs": [
          "https://www.linkedin.com/in/grant-gurvis/",
          "https://x.com/gurgrant"
        ],
        "knowsAbout": [
          "Engineering",
          "AI"
        ]
      }
    ],
    "publisher": {
      "@type": "Organization",
      "name": "Hercules",
      "url": "https://hercules.app",
      "logo": {
        "@type": "ImageObject",
        "url": "https://hercules.app/logo-128.png"
      }
    },
    "mainEntityOfPage": "https://hercules.app/blog/internal-tool-development-statistics"
  },
  {
    "@context": "https://schema.org",
    "@type": "FAQPage",
    "mainEntity": [
      {
        "@type": "Question",
        "name": "What are internal tools and why do businesses invest in them?",
        "acceptedAnswer": {
          "@type": "Answer",
          "text": "Internal tools are apps that employees use to run a business, such as CRMs, ERPs, dashboards, inventory systems, and workflow tools. They help teams manage work, share information, and reduce manual tasks. A 2023 survey found that IT and engineering teams spent 40% of their time building and maintaining these tools and workflows."
        }
      },
      {
        "@type": "Question",
        "name": "How much time do engineering teams spend on internal tools?",
        "acceptedAnswer": {
          "@type": "Answer",
          "text": "A 2023 survey found that IT and engineering teams spent 40% of their time building and maintaining internal tools. In a separate 2024 survey, 70% of engineering respondents said developers spent three to four hours daily on non-core work because they lacked platform engineering tools. These findings come from different surveys and measure different types of work."
        }
      },
      {
        "@type": "Question",
        "name": "How much faster can businesses build internal tools with Hercules?",
        "acceptedAnswer": {
          "@type": "Answer",
          "text": "Petony Transportes says it built its logistics ERP on Hercules in two months instead of the eight months quoted by an agency. That was 75% less time than the estimate, although the agency did not build the same app for a direct comparison. Your timeline will depend on the app's features, integrations, and testing needs."
        }
      },
      {
        "@type": "Question",
        "name": "What cost savings do organizations report with Hercules?",
        "acceptedAnswer": {
          "@type": "Answer",
          "text": "MMA Plumbing built a 46-module operating system after receiving development quotes of at least €250,000. Kingdom Construction reports saving $30,000 a year by replacing four software vendors. These are customer-reported avoided costs and subscription savings, not guaranteed net savings. Subscriptions, cloud usage, testing, and maintenance still affect total costs."
        }
      },
      {
        "@type": "Question",
        "name": "Can businesses build complex internal applications with Hercules?",
        "acceptedAnswer": {
          "@type": "Answer",
          "text": "Yes. Petony Transportes built a logistics ERP that manages about 400 loads monthly. MMA Plumbing built a 46-module operating system, and Helixon Law Firm has built more than 40 applications. These examples show how businesses use Hercules for daily operations. You still need to assess access controls, testing, ongoing costs, and whether the platform meets your needs."
        }
      }
    ]
  }
]
```