Branch² Intelligence
AI Is Boosting Productivity. So Why Aren't India's Biggest IT Firms Cutting More Jobs?
Key takeaway
AI boosts engineer productivity at TCS, Wipro, HCLTech, Tech Mahindra, but hiring shifts rather than mass layoffs.
- Step 1AI tools boost engineer productivity at Indian IT firms, reducing time per task.
- Step 2Firms hire fewer entry-level engineers, shift to AI/ML specialists; margins improve.
- Step 3IT services pricing may decline as productivity gains are passed to clients, or firms retain margin gains.
- Step 4Indian SMEs using IT services benefit from stable or lower costs, but face talent scarcity for AI projects.
Source: IN:NDTV Profit
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