Strategy has shifted to AI factories, agentic systems, and platform-infused engineering. And executives speak of productivity gains rather than fresher hiring now.
Patient capital, early investment, and strong university networks helped many nations become leaders in advanced technologies.
“Our focus now moves to supporting implementation in a manner that is practical, proportionate and aligned with the objectives of the law,” the technology industry body said following the government’s notification of the DPDP Rules on November 14.
Industry watchers say India’s IT sector remains largely unfazed as US visa restrictions tighten, with firms already localising hiring and reducing dependence on H-1Bs.
The strategy is to move technology jobs and investments into cities such as Mysuru, Mangaluru, Hubballi-Dharwad, Kalaburagi, Belagavi, Shivamogga, and Davanagere.
Policy also encourages firms to shift from service-led models to product-centric innovation and early-stage prototyping to scalable technology development.
The 2025-2030 IT policy also proposes ‘Technoverse’ technology campuses, a ‘Women in Global Tech Missions Fellowship’, and a unified digital network across innovation hubs.
Integrated technology operations, once the stronghold of IT firms, are now being executed meaningfully by companies that began as BPMs or BPOs.
Global Capability Centres (GCCs) and premium tech roles offset muted IT hiring as Info Edge posts steady Q2FY26 earnings.
Among Tier-I IT firms, HCLTech had the highest billable revenue per employee at $17,822 in Q2, growing 5.2 per cent YoY, according to estimates by UnearthInsight.
Beyond tightening H-1B visa rules, demand uncertainties are also driving IT firms to focus on short-term contractors rather than hiring full-time employees.
According to GSMA Intelligence data, India’s spectrum cost burden is among the highest in the world, at roughly 26% of operator recurring revenues—limiting the capital available for 5G and upcoming 6G expansion.
The Department of Telecommunications has proposed auctioning only the upper 700MHz of the 6GHz band for mobile use, while delicensing the lower 500MHz for Wi-Fi. Telcos
Mid-tier IT services and ER&D firms are seeing healthy demand for niche skills such as Python, cloud security, and AI and prompt engineering
The move is intended to help enterprises shift from AI pilots to scaled deployments. This is expected to help enterprises integrate AI with existing systems without requiring major architectural overhauls, Cognizant added.
India is one of the fastest growing markets for Snowflake in the Asia Pacific and Japan region, says country head Vijayant Rai
Clients shift from pilots to production as tech spending focuses on efficiency and measurable outcomes.
The demand is primarily in AI, cloud transformation, cybersecurity, enterprise platforms and SAP HANA upgrades, tied to ongoing technology modernisation in global enterprises.
The firm continues to lean heavily on fresher hiring, targeting 20,000 campus recruits this year, while moving delivery towards AI-assisted development workflows.
CEO Ravi Kumar S said that over 30% of the company’s code is now being generated by AI, improving developer productivity and enabling larger fixed-price deals.
Coforge’s strategy is to scale AI-led engineering, expand large accounts and maintain asset-light delivery.
As part of the agreement, the tech major will provide a suite of IT services, including core business applications, infrastructure operations, end-user support, software asset governance, and project execution.
Wipro’s latest cybersecurity report found that 75% of enterprises lack expertise to defend against AI-led attacks, and 86% of recent breaches involve nation-state actors, a sign of how quickly digital espionage is escalating.
Google previously invested about $3 billion in Anthropic
Infosys developers have also produced more than 25 million lines of code using Gen AI.