India’s technology services sector is unlikely to be bypassed by the rapid rise of artificial intelligence (AI) tools, even as global enterprises adopt newer automation-led platforms, industry body Nasscom said, underscoring that AI is more likely to reshape and expand the role played by service providers.
The statement comes amid growing interest in advanced AI tools such as Anthropic’s Claude Cowork, which aim to automate tasks across functions including legal, sales, marketing and data analytics.
“Concerns that such tools will significantly disrupt or eliminate the technology services sector where India has a strong global presence are misplaced,” the tech industry body said.
Orchestration Over Automation
According to Nasscom, Indian technology services companies operate in complex enterprise environments that involve interconnected systems, fragmented data sets and legacy technology stacks. Delivering meaningful business outcomes through AI in such environments requires coordination across multiple systems, domain expertise and a strong understanding of enterprise workflows.
As a result, AI adoption in large organisations is unlikely to be a plug-and-play exercise and will continue to require significant services-led intervention.
“Technology services companies have already accelerated their data and AI capabilities by investing in platforms, building partnerships with AI companies and hyperscalers, upskilling talent, and leveraging mergers and acquisitions,” Nasscom added. These investments are now opening new opportunities across areas such as legacy system modernisation, building AI-ready data infrastructure and deploying intelligent agents across enterprise functions.
Scaling the AI Stack
The industry body also said that as enterprise AI adoption shifts from experimentation to scaled deployment, technology services companies are expected to play a central role in enabling this transition. Their familiarity with enterprise processes and technology architectures positions them to integrate evolving technology stacks, design customised solutions aligned with business workflows and help enterprises extract measurable returns from AI investments.
“AI adoption will follow different paths across different types of enterprises, and the technology services sector is actively reinventing itself to stay ahead of these changes,” Nasscom noted.
