New Relic has released its 2026 AI Impact Report, revealing a strong correlation between the use of AI-powered observability tools and significant improvements in engineering productivity. The findings are based on aggregated, anonymized data from 6.6 million users of the New Relic Intelligent Observability Platform throughout 2025, comparing teams using New Relic’s AI capabilities—such as generative AI and AIOps—with those that do not. The report shows that teams leveraging New Relic AI shipped code 80% more frequently on average than non-AI users. This increase in deployment velocity is driven by the platform’s ability to reduce alert noise and accelerate incident resolution. Engineers spend about 33% of their time dealing with system disruptions, and in 2025 alone, New Relic customers managed 2.2 billion alert events, with nearly a billion originating in production environments. New Relic AI improves signal correlation, helping teams identify root causes faster. AI users achieved a 2X higher correlation rate and generated 27% less alert noise compared to non-AI users. This reduction in noise allows engineers to shift focus from firefighting to building new features and innovations. In terms of issue resolution, AI-powered teams resolved incidents 25% faster on average. During high-pressure periods, the difference was even more pronounced. In May 2025, AI-enabled users resolved issues in an average of 26.75 minutes—nearly half the 50.23 minutes taken by non-AI users. This 23-minute advantage helps prevent investigation stalls and maintains engineering momentum. The report also highlights a dramatic increase in deployment frequency. While non-AI users averaged 87 deployments per day during peak times, AI-empowered teams achieved up to 453 deployments per day—representing a fivefold increase in shipping speed. This surge in productivity suggests that AI not only reduces operational overhead but also directly fuels innovation. Camden Swita, Head of AI at New Relic, said, “AI is introducing a level of complexity in modern software operations that exceeds human capacity to manage. At the same time, AI is helping solve the very problems it creates. The data shows a new operational baseline: teams using AI-strengthened observability reduce noise, resolve issues faster, and free up engineering time to focus on building rather than maintaining. This directly impacts a company’s speed to market and overall agility.” The full 2026 AI Impact Report: New Relic Platform Insights is now available for download. The report underscores how AI-driven observability is transforming software operations, enabling organizations to respond faster, innovate more, and deliver better digital experiences.