India IT earns $12 bn from AI

PTI

New Delhi

The Indian technology services industry is already generating an estimated $10-12 billion in revenue from artificial intelligence services, with nearly a quarter of companies successfully moving AI experiments into production, industry body National Association of Software and Service Companies said.

Dismissing concerns that the rise of AI could diminish the relevance of traditional IT services, industry leaders at the Nasscom US CEO Forum in New York City said that the sector remains central to global enterprise transformation in the AI era. "While AI will bring productivity gains and compress parts of standardised, repeatable work, it will also expand demand for technology orchestration, data readiness, application modernisation, AI governance, cybersecurity, agent management and industry-specific solutions

"Nearly 25% of technology services companies have moved AI experiments into production. The industry is generating an estimated $10 to 12 billion in AI services revenue, with more than 2 million professionals skilled in AI and 100,000 to 200,000 trained in advanced AI capabilities. Around 85% of technology service providers now have agentic AI platforms,” the association said.  Looking ahead, Nasscom said Agentic AI will open up an additional $300 to 400 billion in addressable spend pools for technology services by 2030, spanning legacy modernisation, AI operations, cybersecurity, and governance. 

The forum, held at the Consulate General of India, was attended by Governor Matt Meyer, Secretary Charuni Patibanda-Sanchez, and CEOs of Indian technology companies operating in the US.