India’s IT sector on track to hit $400 bn by 2030
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New Delhi: India’s information technology (IT) sector is projected to reach $400 billion by 2030, led by firms delivering domain-specific automation that outperforms traditional service models on speed, quality, and cost, a report said on Tuesday.
The country’s strong talent pool, global client trust, and cost efficiency will enable it to leverage the increased global demand for AI-driven solutions, a report by venture firm Bessemer Venture Partners indicated.
AI is automating tasks previously performed by humans and disrupting the billable-hour model that supports traditional Indian IT services, which makes deep strategic pivots crucial to stay competitive, the report noted.
The venture firm mentioned that agile, AI-native challengers are adapting more quickly to such changes than incumbent companies. Three types of fast-moving AI-first challengers that will disrupt existing models are AI-enabled services, services built for AI, and pure software-led platforms, the report said.
The venture firm forecast that India’s IT services industry will grow with margins intact despite challenges from AI-related disruptions.
