AI Will 'Redefine, Not Replace' India's IT Services Industry: Anand Mahindra
Published on: July 17, 2026, 10:37 p.m. | Source: Outlook Business
Artificial intelligence (AI) is unlikely to diminish the role of India's IT services industry, but it will fundamentally change how the sector operates, Tech Mahindra Chairman Anand Mahindra said on Friday. Speaking at the company's 39th Annual General Meeting (AGM), Mahindra addressed growing concerns that AI could reduce the relevance of IT services firms. He argued that while AI is transforming enterprises, organisations will continue to depend on technology partners to integrate, govern and deploy AI securely across complex business environments. "At the very outset, let me tackle the elephant in the room — which is the prediction that the rise of Artificial Intelligence will kill IT services in India. Every major technology cycle creates such anxieties. My answer however is clear: the role of IT services will not diminish. It will change, of course. And in many ways, it will become more important," he said. Mahindra said AI is moving beyond being a productivity tool and becoming central to business operations, decision-making and customer engagement. However, he noted that deploying AI at enterprise scale remains challenging because organisations continue to operate legacy systems, fragmented data and complex regulatory frameworks.
