Residents in one of America’s hottest, community-driven tech hubs were asked how AI is impacting their jobs and lives. Here’s what we learned.

At this week’s State of AI in Austin event, the Austin AI Alliance shared early findings from its forthcoming 2026 research report. The resulting data captures a community grappling with opportunity and uncertainty in equal measure as AI’s influence grows. 

Here’s what we’re paying the closest attention to: AI’s impact on the core functions of people’s jobs is expected to double from 2025 to 2026.

Last year, many workers experienced incremental productivity changes. This year, far more anticipate a fundamental change in roles themselves. We’re witnessing AI move from the periphery of work into decision-making, core workflows, and the very definition of job responsibilities. What’s changing is the depth of impact as AI moves beyond its earlier role as a productivity enhancer and AI becomes more of a collaborator in judgment, strategy, and execution.

Tasks vs. roles 

For now, the conversation on job impact is still centered on task-level change vs elimination itself State of AI in Austin event panelist Paige Fults, described how this plays out at (K-8) Alpha school, which uses AI to absorbing the repetitive, energy-draining tasks, allowing teachers to operate at a higher level of judgment, creativity, and human connection.

“Historically, the role of a teacher has been to prepare the next generation to live, thrive, and advance society. AI can take on the task of information delivery; it cannot replace the role of preparing humans for the future,” she said.

Fellow panelist Marta Vieira Gattis, Vice President of People at Indeed, shared key findings from Indeed’s Hiring Lab research, which shows the greatest impact appearing at the skill level, and confirming that validation and decision-making remain human.

• For most jobs, we should expect “hybrid transformation,” where humans direct and oversee AI
• Currently, less than 1% of the nearly 2,900 skills analyzed are very likely to be fully replaced, as the majority require human oversight and decision-making
• Only about a quarter (26%) of jobs could potentially be “highly” transformed
• The majority (54%) of all jobs fall into the “moderate” transformation category, meaning GenAI can assist with tasks, but humans still need to lead the work

Gattis offered the caveat that the findings only cover potential skill transformation based on today’s AI capabilities, which are hard to measure and will continue to evolve. “We still need to take into account business adoption, which is slowly ramping up, and the fact that many new jobs will also be created through this transformation,” she said.

Opportunity vs risk? Both things are true in Austin

When we asked Austinites whether AI is a blessing or a curse, nearly 60% answered: both. This dual perception may be the research’s most important finding. Austinites don’t have blind faith in AI, expressing a clear tension between its perils and promises, and insisting on safeguards that match its scale.

No surprise, the research reveals a clear mandate for leadership. Austinites want progress that reflects community values. Think city-level collaboration, workforce training and responsible deployment rather than more tax breaks for corporations.

Austin has long been a place where innovation and culture coexist. New data from the State of AI in Austin shows residents expect the same when it comes to AI adoption. They want ambition and speed, but they also treasure responsibility, transparency, and care. Meeting that expectation will require coordination and participation at a scale that matches the magnitude of change itself.

The Austin AI Alliance brings together citizens and leaders across education, industry, government, and community to help Austin adopt AI in ways that are people-first, ethically grounded, and responsive to real local needs.Want to participate in the co-creation of responsible AI adoption in Austin?  Visit austin-ai.org or connect with the Austin AI Alliance on LinkedIn to join the conversation.