What drives Australian businesses to accelerate their development and applications using AI
In this Q&A, Paul Arthur (pictured) from OutSystems, explains what is driving Australian businesses to accelerate their development and applications using AI-powered solutions. The article touches on the use of Generative AI as well as Agentic AI.
- What role do you see generative AI playing in the broader adoption of low-code development platforms in Australia?
Generative AI is transforming low-code development by shifting the focus from building apps to generating apps. Traditionally, low-code platforms were efficiency tools that streamlined app creation, akin to constructing a house: stable, solid, but slow and resource-intensive. Generative AI, however, is enabling a more dynamic, product-oriented approach. Apps can now be iteratively developed and deployed in rapid cycles, similar to 3D printing in manufacturing. This approach allows for a level of customisation previously unattainable, delivering bespoke solutions tailored to specific needs.
For example, generative AI tools, such as OutSystems Mentor, empower users to rapidly prototype and deploy applications. The emphasis is on what inputs are provided to the generative AI platform, enabling users to create unique and adaptable applications. This evolution is speeding up app development while maintaining a balance between bespoke customisations and scalability.
Agentic AI is also set to significantly enhance low-code development by autonomously handling complex tasks such as building workflows, generating backend logic, or optimising user interfaces. This capability could accelerate adoption in Australia by lowering the barrier for non-technical users and enabling faster, smarter application development across industries.
- How is generative AI transforming the way Australian businesses approach software development, particularly in terms of speed and accessibility?
While many generative AI tools currently focus on writing app code faster, they often create challenges such as technical debt and scalability issues. OutSystems Mentor stands apart by generating apps that live within the generative AI platform itself, ensuring they are easier to build, deploy, and scale without compromising robustness.
Generative AI enables organisations to accelerate development cycles from months to weeks, but this speed can also create bottlenecks elsewhere, such as governance and deployment. The focus needs to shift from merely producing code quickly to ensuring that the resulting apps fit seamlessly within the broader organisational workflow. Businesses are becoming more aware of this, as evidenced by the rise of tools like GitHub Copilot, but they must remain cautious to avoid simply “creating problems faster.”
- What industries in Australia are leading the charge in integrating generative AI into their low-code development workflows? Why do you think that is?
Industries at the cutting edge of technology, such as finance and IT, are leading the adoption of generative AI in low-code development. These sectors are constantly seeking innovative ways to enhance efficiency and build bespoke solutions that traditional off-the-shelf software cannot deliver.
Generative AI also has the potential to disrupt the market for off-the-shelf products entirely. Businesses can now generate tailored applications as quickly as purchasing ready-made solutions, making bespoke development more accessible and attractive across industries.
- Low-code platforms aim to democratize development. How does generative AI further empower non-technical users in this space?
Generative AI enhances the democratization of development by making it accessible to non-technical users. For instance, platforms like OutSystems Mentor allow users to simply draft a well-written requirements document, which the platform then converts into an application. This approach shifts control back to the business users who best understand their needs, reducing reliance on IT departments.
While developers remain essential, their focus is redirected to high-value, specialised tasks, as generative AI handles a high proportion of the foundational work. This paradigm enables organisations to automate low-value tasks while maintaining governance over the creation process, ensuring scalability and security.
- What are the key challenges or barriers Australian businesses face when adopting generative AI for low-code development?
The rapid pace of innovation in generative AI presents challenges for businesses trying to navigate a crowded and noisy market. With every provider claiming their solutions can do everything, it becomes difficult for organisations to objectively evaluate and select the tools that best meet their needs.
Additionally, while generative AI accelerates code creation, it does not necessarily address bottlenecks in areas like legal compliance, security, and deployment. Adopting a holistic approach—where platforms integrate governance, scalability, and usability—is essential for businesses to fully capitalise on generative AI’s potential.
- Australia is known for its innovation in tech and software. How do you think the country’s regulatory environment is shaping the adoption of these technologies?
Currently, Australia’s regulatory environment is reactive rather than proactive, with some instances of over-correction. For example, in Victoria, an overreaction to AI in social services led to a blanket ban on the technology. This cautious approach reflects the challenges of regulating an industry evolving at an unprecedented speed.
While some level of reactivity is inevitable, Australia’s regulatory framework must strike a balance between fostering innovation and ensuring ethical, secure implementation. As the industry matures, it will be vital for policymakers to engage with experts operating at the cutting edge to create effective, forward-looking regulations.
- What potential does generative AI hold for addressing Australia-specific issues, such as bridging skills gaps in tech or enhancing services in remote areas?
Generative AI has the potential to replace tasks rather than jobs, empowering individuals to focus on high-value activities. For instance, users in remote areas can input requirements into generative AI platforms to quickly create tailored applications without needing advanced technical skills. This capability aligns well with Indigenous and community-based approaches, which often prioritise storytelling and intuitive, visual workflows.
Generative AI can also reduce the time and cost of development projects, enabling organisations to deliver value more quickly. However, to fully realise this potential, businesses must adapt their processes to the new, faster development lifecycle enabled by generative AI.
- Looking ahead, how do you envision generative AI evolving in the context of low-code development over the next five years, and what might this mean for Australia’s tech landscape?
While predicting the future of generative AI is challenging, it is clear that its evolution will demand significant compute resources, energy, and robust security measures. For example, concerns about exposing corporate data to external generative AI platforms highlight the need for secure, enterprise-grade solutions.
As generative AI and agentic AI continue to advance, it will likely drive paradigm shifts in how applications are developed, deployed, and maintained. The focus will be on rapid iteration, scalability, and governance within structured frameworks, ensuring businesses can innovate quickly without sacrificing security or compliance. This evolution will position Australia’s tech industry to capitalise on generative AI’s transformative potential while navigating its inherent risks.
