What AI is doing to product manager work
External PM hiring contracted ~14% in 2025, but the function has not shrunk — companies are concentrating spend on proven mid-to-senior practitioners and paying them more: median PM salaries rose ~5% in 2025, outpacing most peer functions. Entry-level and associate PM roles are the hardest hit; roles at that band face both fewer openings and oversupply from experienced candidates willing to step down. Senior and Group PM compensation is where the real movement is — US Group PM new-offer packages rose 25.6% in 2025. Compensation premiums are concentrating visibly in two places: AI-native product roles (PMs owning LLM-powered features or AI infrastructure products) and PMs with hard quantitative and experimentation skills. Tooling has moved fast: Notion AI, Productboard, and Amplitude are now table stakes for discovery and prioritisation workflows; PMs who cannot interpret A/B test results or write a coherent SQL query are increasingly filtered out at screen stage. The role is not being automated — but the surface area of a single PM is expanding as AI absorbs lower-order execution tasks, raising the bar for strategic and commercial judgment.