As artificial intelligence (AI) continues to reshape the global technology landscape, Indian IT firms must rethink their business models and build indigenous language models to stay competitive, said HCLTech CEO C Vijayakumar.
Speaking at an industry event in Mumbai, Vijayakumar highlighted that AI’s impact on IT services is far more disruptive than past technological shifts like cloud computing and digital transformation. “The underlying themes are not the same as cloud and digitisation and other things … This is very different. The changes that AI is assuring are very different, and we need to be more proactive to even categorise our revenues to create completely new businesses,” he said.
Generative AI, which can automate coding and various software development tasks, is expected to shorten project timelines and increase efficiency.
Vijayakumar cited an example of a large financial services firm where a $1 billion technology transformation program, initially planned for five years, could now be completed in just three-and-a-half years due to AI-driven efficiencies.
Vijayakumar also emphasised the need for India to develop its own language models, reducing reliance on foreign AI infrastructure and mitigating geopolitical risks.
“We should not assume that these (language) models will continue to be open source. I think these are going to be the coins on which the geopolitics is going to be played off,” he warned.
As large language models (LLMs) become critical assets in AI development, he urged investment in domestic AI training infrastructure, stating that the costs of building such models are coming down and India must find economical ways to develop them.
Echoing the need for agility, Infosys CEO Salil Parekh urged Indian IT firms to stay vigilant in adapting to AI-driven change. “I think we have to be paranoid. We have to be non-complacent. That is the way we can manage to keep up with what’s going on in the industry,” Parekh said.