AI deployment fuels FDE hiring race

As companies move from experimenting with generative AI to deploying it across business operations, demand has surged for Forward Deployed Engineers (FDE), who combine software engineering expertise with domain knowledge and customer-facing skills to implement AI solutions at scale.

The scramble has intensified over the past few weeks. Microsoft last month announced a $2.5 billion investment in a new unit, Microsoft Frontier Co, that will employ about 6,000 Forward Deployed Engineers, technical consultants, support staff and sales professionals to help customers implement AI workflows.

Amazon followed with a $1 billion investment in an FDE group aimed at accelerating AI deployment, while Cognizant said it plans to expand its Frontier-certified workforce to 15,000 employees comprising Frontier Certified Engineers and Frontier Business Operators. The hiring push reflects a broader shift in enterprise AI, where the challenge is no longer building models but integrating them with existing software, workflows and business processes.

Unlike conventional AI engineers, FDEs are expected to work at the intersection of technology and business. They design AI solutions, integrate them with enterprise systems, work directly with customers and ensure deployments deliver measurable business outcomes. That combination of technical depth and consulting capability has made the role one of the hardest to fill.

“FDEs are in obvious limited supply. OpenAI’s acquisition of Tomoro bags them 150 in one fell swoop, and that’s a relatively large number in the current market,” David Cushman, executive research leader at HFS Research, said. Since few professionals possess all the required skills, companies are increasingly assembling pod-based teams that collectively perform the FDE function rather than relying on a single individual.

The shortage is also forcing companies to rethink how they build talent. Instead of competing for a limited pool of experienced professionals, many are training software engineers, product managers and even fresh graduates internally. HCLTech has said it is prioritising hiring high-quality freshers who can be groomed over the next few years into specialised AI engineers.

AI and digital engineering firm Apexon is investing in structured learning programmes covering Generative AI, Agentic AI and AI-native engineering, while Scaler is launching a dedicated Forward Deployed Engineering programme this month after seeing strong demand from enterprises and learners.

Mid-tier IT firm Coforge which declared plans to scale its FDE team to more than 100 specialists earlier this year, has also launched Momentuum AI recently, a separate unit centered around the FDE model. Under this program, the company has implemented a 90-day applied academy and upskilling initiatives to scale its FDE roles.

“We’re specifically going to the IITs and BITs colleges to handpick premium 10x engineers, under a new program we have launched. Candidates go through an intense test and between 80%-90% fail this test. These will be the FDEs of the future. So, we are betting heavily on freshers but they are the cream of people who are multi-faceted,” Prakash Balasubramanian. Executive Vice President & Global Head, Engineering Practices & Delivery at Ascendion said.

“Strong engineers can make this transition through focused, production-first training that mirrors the realities of enterprise AI deployments rather than isolated coding exercises,”Amar Srivastava, CEO of Scaler Online and group chief product officer, told Fe.

The demand extends beyond Big Tech and IT services firms. According to Zinnov, global capability centres (GCC) are increasingly creating FDE teams as product ownership and customer-facing responsibilities shift to India. FDE pods in Indian GCCs have helped AI vendors reduce support backlogs by as much as 40%, while B2B SaaS firms operating FDE-led GCC models have accelerated product releases by 20-25%.

Staffing firms say hiring cycles have become shorter despite rigorous interview processes because companies cannot afford delays in AI deployments. “Companies also tend to follow rigorous and layered interview processes for these roles, given the expectation of end-to-end ownership,” Sanketh Chengappa, Director and Business Head at staffing firm Adecco India said. “As a result, while hiring timelines may be accelerated due to business urgency, the process itself remains inherently difficult because of elevated skill expectations, intense market competition, and a limited talent pool. This makes proactive talent pipelining and continuous candidate engagement critical for organisations hiring at scale.”

Salaries reflect the scarcity. Senior FDEs in GCCs earn between Rs 32 lakh and Rs 55 lakh annually, compared with Rs 10-14 lakh in IT services firms, with the gap widening further at leadership levels.