Uber exhausts annual AI budget in four months, questions productivity gains

Uber used up its entire 2026 AI coding budget in just four months. The company gave engineers access to an AI tool called Claude Code in December 2025. By April 2026, about 84 percent of engineers were using it heavily, and AI systems had written around 70 percent of all new code. However, Uber's chief operating officer said there was no clear link between high AI use and better products for customers. The company has now set a monthly spending limit of $1,500 per employee for these tools. Uber's research and development costs rose 17 percent compared to the previous year, reaching $951 million in early 2026. Microsoft, Amazon, and Duolingo have also pulled back on similar AI programmes.