There has been lot of buzz about AI taking away jobs, especially after the scenarios released by the Citrini report. We saw a rout across the tech sector stocks globally on the back of apprehensions about how AI might change businesses. However, Mahindra Group Chairman, Anand Mahindra considers the apprehension “exaggerated.”
He took to social media platform X to voice his opinion and called it an “interesting thought exercise.” Anand Mahindra said he could not resist quoting Mark Twain: “Reports of my death are greatly exaggerated.” He pointed out that “Role doesn’t disappear. It evolves,” in response to the Citrini report that created a scenario where revenues at major Indian IT firms decline, IT exports shrink, India’s balance of payments comes under strain & even the IMF is imagined to be in preliminary discussions with New Delhi.
AI won’t remove service providers, but will reshape their role
Anand Mahindra, chairman of the Mahindra Group, pointed out that though he may not have a foolproof counter-scenario but questioned the possibility of AI making the best service providers more central rather than eliminating them?,
“I do not claim to have a foolproof counter-scenario. The future remains magically uncertain. Markets are swinging because they are trying to price that uncertainty & in that sense, perhaps they are behaving rationally.
AI will undoubtedly put pressure on IT services companies. Yes, they will need to become more efficient, reduce cost structures, rethink headcount models and move away from pure effort-based pricing toward outcomes & value delivery.” He added in his post on X.
“As AI systems scale across enterprises, someone still has to ensure secure data foundations, integration across legacy and cloud systems, governance, compliance and auditability, and mission-critical reliability,” he further elaborated.
He added that for medium and large enterprises, integration remains complex, regulation is heavy and the cost of failure is high.
Focus shifts from effort to outcomes
Mahindra said the real differentiator in the AI era may not be who supplies effort, but who can deliver outcomes, manage risk and help companies achieve “scale at speed”.
“That role doesn’t disappear. It evolves,” he said.
IT Services firms can stay relevant by pivoting fast
Offering his view with “humility and not certainty”, Mahindra said services firms that decisively pivot towards AI orchestration and outcome-based delivery could remain extremely relevant even as AI adoption accelerates.
His comments add a counterpoint to the more readings of the Citrini report and suggest that the future of Indian IT services may be shaped more by adaptation than by outright disruption.