“The Indian IT industry hired more people for every $1 billion in revenues last year despite increased focus on newer technologies such as automation and artificial intelligence, in a sign that the sector has yet to decouple revenues from headcount growth. Peter Bendor Samuel, CEO at Everest Research, agreed there was a need to look at newer sources of value as the IT industry’s labour arbitrage model has matured, and is expected to only last only for another 3-5 years. There are also bigger threats on the horizon, as IT becomes a utility and could get completely outsourced to cloud players. Clients no longer need companies to customise software for them — a large chunk of the Indian IT sector’s revenue.” Read More.
