Maybe a month ago I was talking with my developers about this very thing and I did hear some uneasinnese in their voices, some fear of the future job prospects. However I explained that this is exciting if at all possible. This would not replace the developer, it would make a developer quite a bit more productive though, allowing for the business requirements to be implemented much faster.
Say you are working on a large use case, you put together the data model, maybe most of the DDL, some front end work, maybe the HTML components (if web based). Now you want to connect the data to the presentation. So bring up the AI, tell it the data validation requirements while pointing at the fields on the screen and pointing at the database fields. It should fill in the validation routines and the code that connects it all while following the project standards for security checks, transaction handling, basically generating the missing code.
The developer would provide the end points and describe the behaviour with human language/pointing at things while describing this, the AI would provide a number of solutions to choose from.
The AI should keep track of test cases based on the description, provide a test suit. It should keep an eye on the code base at all times to notice what it can do for the developer and propose it whenever it sees the opportunity, etc.
Would this put developers out of jobs? I think it would make developers much more productive, allowing for many more projects to be created and tested. The AI should help integrating components, keep track of configurations, do more testing on all levels (functional, security, load, etc). The projects should be churned out faster and with a higher quality, while more ideas would have a chance to be tried out as projects.