Tata Consultancy Services (TCS) has encouraged its employees to utilize artificial intelligence (AI) tools for faster and cost-effective work delivery, even if it affects short-term revenue. At the Nasscom Technology and Leadership Forum, TCS CEO K Krithivasan emphasized informing clients about AI-driven efficiencies that can reduce costs and time, despite potential revenue impacts. He stressed the importance of embracing AI changes rather than resisting them, highlighting the technology’s potential to create more opportunities rather than eliminate jobs.
Investor concerns about AI disrupting India’s IT services industry’s traditional labor-intensive model have led to a significant decline in IT stocks. The Nifty IT index has dropped by 21% this month, marking its worst monthly performance in nearly 23 years. The sector has witnessed a loss of approximately $68.6 billion in market value in February due to AI-related apprehensions.
Wipro’s Chief Strategist and Technology Officer, Hari Shetty, echoed sentiments similar to TCS, foreseeing a surge in demand for software services with rapid AI adoption. Shetty believes that AI will generate more job opportunities rather than reduce them. Describing AI as a significant technological advancement, he likened the current AI wave to historical breakthroughs like electricity, the steam engine, and the internet revolution. Shetty emphasized AI’s transformative potential, stating that it will reshape industries and economies globally.
