New Delhi, November 20 (IANS). The role of Artificial Intelligence is going to be important in the growth of India’s IT service and software export industry. According to a report on Thursday, AI-led projects are expected to contribute up to 20 percent of the sector’s revenue by 2030.
Investment bank Equirus Capital reports that AI is transforming delivery models and playing a key role in increasing the output of Indian tech companies by 45-50 percent.
This surge in production is pushing Indian IT companies to bring stronger and deeper AI capabilities into delivery, platforms and talent development.
“AI adoption by Indian tech firms is driving a shift in pricing models from time and material (T&M) to outcome-based pricing (OBP),” said Sandeep Gogia, managing director and tech and digital sector lead, Equirus Capital.
The report suggests that three clusters will be seen driving the next wave of mergers and acquisitions, which include AI-enabled delivery, AI-enabled platforms and AI skill advancement.
The report said that tech services companies will increasingly acquire companies with proprietary IT, automation frameworks and AI-first delivery models. Those enterprise software platforms that embed AI in the product architecture will experience significantly higher revenue momentum and stronger investor interest.
According to the report, policy support, expansion in tier-2 and tier-3 cities, and India’s talent pool are driving companies to move to in-door centers for high-value work. With this, we estimate that the GCC will cross the $100 billion mark by FY 2030.”
‘AI Adoption’ is playing an important role in improving unit economics. Large companies in India are experiencing 200 to 400 bps margin expansion from AI-driven operations automation.
The firm said profitable digital companies are already benefiting from a 15-20 per cent valuation re-rating in 2025.
–IANS
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