IT firms pass on AI-led gains as clients seek cost savings

While a rapidly evolving tariff war has put on hold an expected recovery in India’s $280 billion information technology industry, artificial intelligence (AI) is bringing fundamental shifts to the IT services delivery model. Customers are demanding productivity gains and cost savings derived through AI to be passed on to them, especially in an uncertain business environment where saving the last dollar is a top priority.

Over the last two weeks, the chief executives of three of India’s top four IT companies confirmed that they were passing on…