Using AI to Reduce Technical Debt in Legacy Codebases

Written By:
Founder & CTO
July 11, 2025

Technical debt has become a structural burden for most engineering organizations that maintain legacy codebases. These systems, often composed of a patchwork of outdated libraries, deprecated design patterns, and business logic that has drifted from its original documentation, tend to resist change and innovation. Over time, even minor modifications become high-risk endeavors due to fragile dependencies and poor test coverage.

With the rapid evolution of artificial intelligence in software engineering, particularly the rise of large language models and code understanding frameworks, there is a paradigm shift in how technical debt can be identified, assessed, and resolved. Using AI to reduce technical debt in legacy codebases is no longer a distant vision, it is becoming an integral strategy for modern software teams aiming to improve maintainability, reliability, and engineering velocity.

This blog explores the practical applications of AI in reducing technical debt within legacy systems. It offers a detailed breakdown of strategies, tools, and real-world use cases that can empower engineering teams to revitalize old code without undergoing complete rewrites.

What Technical Debt Looks Like in Legacy Systems
Obsolete Dependencies and Deprecated APIs

Legacy systems often depend on third-party packages and language runtimes that are no longer maintained or compatible with modern tooling. For example, a Java project built on JDK 7 might rely on libraries that no longer support the latest JVM features. This creates a situation where the cost of upgrading a single module could cascade across the system, triggering widespread regressions.

AI models trained on language specifications and API usage across thousands of open-source repositories can assist in identifying deprecated calls, suggesting modern equivalents, and even rewriting functions that are incompatible with the target runtime. This reduces the need for manual upgrade efforts and accelerates the modernization process.

Low or Non-Existent Test Coverage

One of the defining characteristics of legacy code is a lack of comprehensive test coverage. The original authors may have exited the team, or testing might have been de-prioritized during development. This makes developers hesitant to refactor or change anything due to the absence of safety nets.

Using AI for test generation enables rapid bootstrapping of test suites that can identify execution paths, simulate edge conditions, and verify expected outputs. These capabilities are especially useful when combined with static analysis tools to isolate high-risk regions of the code.

Architectural Entanglement

Older applications often lack clear separation of concerns. Business logic is tightly coupled with infrastructure code, making it difficult to isolate changes or refactor components independently. This entanglement usually results from years of iterative development with shifting requirements and no time allocated for structural improvement.

AI-driven architectural analysis can help extract high-level system diagrams, map domain responsibilities to modules, and recommend candidate boundaries for modularization. These insights can be used to drive migration to microservices or service-based architectures with reduced interdependencies.

Inconsistent Coding Standards and Legacy Idioms

Over time, different contributors introduce diverse coding styles, design patterns, and logic flows. Some portions may follow procedural paradigms, while others shift toward object-oriented or functional styles. The lack of coherence increases cognitive load and makes onboarding new developers slower and riskier.

AI code agents can enforce project-wide consistency by automatically identifying and correcting style violations, converting legacy idioms to modern patterns, and aligning the code with best practices followed in up-to-date open-source projects.

How AI Assists in Reducing Technical Debt in Practice

Automated Code Comprehension and Documentation
Understanding the Intent of Legacy Functions

Large Language Models, such as CodeBERT and GPT-4, are capable of interpreting code contextually and translating it into human-readable explanations. These models analyze not only the syntactic structure of code but also the semantics based on surrounding logic and usage patterns.

This capability is especially helpful when dealing with monolithic functions containing business-critical logic buried under multiple layers of nested conditionals. Developers can query the model for high-level summaries or line-by-line explanations, thereby speeding up code audits and onboarding.

Generating Inline and External Documentation

AI tools can produce contextual docstrings, JSDoc-style annotations, or full markdown-based documentation files. This eliminates the guesswork that developers typically face when diving into undocumented legacy modules.

Documentation generation can be performed incrementally, allowing teams to progressively improve visibility into different parts of the codebase while prioritizing high-complexity or frequently accessed functions.

AI-Powered Refactoring and Code Simplification
Refactoring Imperative Logic into Declarative Constructs

Many legacy applications rely heavily on imperative logic, which is harder to reason about and test. AI models can identify such patterns and propose equivalent declarative or functional constructs, which are easier to compose, reuse, and optimize.

For instance, a sequence of imperative loops manipulating lists can be transformed into higher-order function chains like map, filter, and reduce in languages such as Python, JavaScript, or Scala. This not only reduces boilerplate but also improves readability and testability.

Converting Inheritance to Composition

Inheritance hierarchies in legacy object-oriented systems often become brittle and difficult to extend. AI agents can recognize anti-patterns such as deep inheritance trees, tight coupling between parent-child classes, and misuse of abstract methods.

They can then suggest composition-based alternatives, such as interfaces, mixins, or protocol-based patterns that make the code more flexible and maintainable.

Identifying Redundant or Duplicate Code Blocks

Technical debt often accumulates as developers copy-paste logic across files due to lack of shared utilities. AI systems trained on code similarity embeddings can flag these duplicates and consolidate them into single reusable functions.

This form of deduplication not only reduces LOC (lines of code), but also simplifies debugging and future enhancements.

AI-Assisted Test Generation and Coverage Optimization
Bootstrapping Unit Tests for Untested Functions

Using AI to auto-generate tests is especially impactful in legacy codebases where writing tests manually would take months. AI models can infer test cases by understanding input-output mappings, control flow paths, and edge case scenarios.

Generated tests often include positive, negative, and boundary conditions, enabling developers to quickly wrap critical paths in regression tests before initiating refactor cycles.

Identifying Coverage Gaps and Generating Assertions

AI systems integrated with coverage tools can detect which execution paths have no test coverage. Based on static and dynamic analysis, they generate assert statements that validate expected state transitions or outputs.

This results in more meaningful tests that increase confidence during automated refactorings and code upgrades.

Supporting Integration and Snapshot Testing

Beyond unit tests, AI can also be used to capture system-level behavior and generate snapshot-based tests. These are useful when you want to detect changes in API responses, DOM structures, or database records over time.

Integration-level test generation is particularly helpful in monoliths where it is difficult to isolate subsystems due to shared state or tight coupling.

Managing Dependency and Version Migrations with AI
Flagging Deprecated APIs and Security Risks

One of the first steps in modernizing a legacy system is identifying usage of deprecated APIs or known-vulnerable packages. AI tools can cross-reference the codebase against a knowledge base of security advisories and deprecation warnings from vendor documentation.

They can highlight usage of risky dependencies and provide context-aware migration paths to secure, updated alternatives.

Automated Code Fixes for API Changes

In many cases, APIs evolve to introduce breaking changes in function signatures or parameter order. AI agents can parse changelogs, infer upgrade mappings, and even rewrite affected function calls accordingly.

This is especially useful in systems that span large codebases with thousands of references to a deprecated function. The AI ensures consistency in how changes are applied throughout the codebase.

Semantic Diffing and Behavior Preservation

When migrating dependencies, it is essential to ensure that the new implementation behaves identically to the old one. AI systems equipped with semantic diffing tools can validate equivalence at a functional level, rather than relying solely on text-based diffs.

This helps reduce regressions and supports automated verification in CI environments.

Using AI to Modularize and Modernize Architecture
Extracting Architectural Boundaries from Source Code

By analyzing file imports, class dependencies, and call graphs, AI tools can infer logical groupings of functionality that correspond to domain boundaries. This helps teams identify modules that should be split off into independent services or libraries.

The process relies on clustering algorithms combined with contextual knowledge learned from similar repositories. It can surface hidden service candidates within a monolith and reduce cognitive overhead when planning decompositions.

Generating OpenAPI Specifications from Code

In monolithic applications, business logic is often interwoven with presentation or transport layers. AI agents can extract API semantics from route handlers or controllers and generate formal OpenAPI definitions, which serve as blueprints for API-first development.

This forms the foundation for modular interfaces, stubbing, and future service extraction, allowing teams to move toward microservices or headless architectures.

Standardizing Code Quality and Style Using AI
Detecting Anti-Patterns and Legacy Constructs

AI models trained on millions of repositories can recognize common anti-patterns such as deeply nested loops, magic numbers, excessive parameter lists, and ambiguous naming conventions. These issues contribute to poor readability and maintainability.

Once flagged, AI can recommend more idiomatic alternatives or generate refactored versions that align with modern software engineering practices.

Enforcing Consistent Formatting and Conventions

Instead of relying on static linters and formatters, AI-powered code agents can enforce project-wide consistency based on natural usage patterns. This includes naming conventions, class structure, import order, and spacing rules.

AI-based formatting is context-aware and adapts to the unique style of the repository while suggesting improvements that enhance legibility.

Best Practices When Using AI for Technical Debt Reduction
Maintain Human-in-the-Loop Oversight

AI tools are powerful assistants, not autonomous decision-makers. Every refactor or transformation should be reviewed by experienced engineers to validate correctness, business alignment, and edge case coverage.

Build Safety Nets Before Refactoring

Before AI-driven changes are applied, establish baseline test coverage to validate behavior. Snapshot tests, integration tests, and monitoring logs can serve as early warning systems for regressions.

Use Version Control Granularly

Split AI-generated changes into small, well-scoped commits to isolate issues and improve traceability. This also makes it easier to roll back specific changes if unintended side effects occur.

Continuously Integrate AI Feedback Loops

Integrate AI into CI pipelines to catch technical debt before it compounds. Run automated scans for style violations, test coverage drops, and anti-patterns with each pull request to enforce hygiene.

Conclusion

Using AI to reduce technical debt in legacy codebases is a pragmatic strategy that blends code intelligence, automation, and human expertise. It allows organizations to modernize incrementally, reduce risk during refactors, and reclaim engineering velocity without rewriting entire systems.

AI agents empower developers to transform legacy codebases into maintainable, well-tested, and extensible systems that can evolve alongside business needs. While challenges remain in terms of accuracy, domain-specific knowledge, and security, the benefits of adopting AI into technical debt workflows are undeniable.

For teams maintaining legacy systems, now is the time to embed AI into your modernization roadmap. It is not about replacing engineers, it is about amplifying their ability to ship reliable software at scale.