What is Tata Consultancy Services' stance on AI adoption?

TCS is encouraging employees to use AI for faster and cheaper work, believing it will create more opportunities despite potential revenue cannibalization.

How does TCS view the impact of AI on jobs?

TCS believes AI will open up more avenues and benefits, rather than taking away livelihoods, a view shared by rivals like Wipro.

What are investor concerns regarding AI in the Indian IT sector?

Investors are concerned about AI disrupting the traditional, labor-heavy operating model of the Indian IT sector, leading to market value drops.

Home / Business and Economy / TCS Urges AI Use, Even If Revenue Drops

TCS Urges AI Use, Even If Revenue Drops

25 Feb

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Summary

Employees are encouraged to use AI for faster, cheaper work.
Company acknowledges AI could reduce revenue but sees long-term benefits.
This stance contrasts with market fears of AI disruption in IT.

Tata Consultancy Services (TCS), India's premier software-services provider, is actively promoting the use of artificial intelligence among its workforce. The company's CEO, K Krithivasan, has urged employees to utilize AI tools to deliver work more rapidly and economically, even if such adoption might lead to a reduction in revenue.

Krithivasan expressed confidence that embracing AI will not jeopardize employment but rather open up new avenues, encouraging employees to embrace the benefits of this transformative technology. This perspective aligns with that of rival Wipro, which also anticipates AI to drive demand and potentially create more jobs within the IT services industry.

The Indian IT sector has recently experienced significant market value depreciation, with concerns growing over AI's potential disruption to traditional operating models. Despite these market anxieties, TCS and Wipro maintain an optimistic outlook on AI's integration.

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