IT grapples with more than 20% drop in deal pricing on macro, AI impact

India’s top software services exporters are facing a more than 20% drop in final client rates so far this year as elevated caution, tariff-led inflationary pressures and economic uncertainties dent pricing of IT projects, multiple analysts told ET. This scenario is expected to sustain leading IT firms to sharpen focus on cost efficiencies and vendor consolidation amid continued slowdown in technology spends by most corporate clients, the analysts said.

“We are seeing pricing drops as high as 20% in some competitive situations. It is impacting all…