BENGALURU — At Infosys’ 45th Annual General Meeting, Chairman and co-founder Nandan Nilekani firmly dismissed rising anxieties that artificial intelligence will make traditional IT services firms obsolete. Amid growing debate over the future of the technology outsourcing industry, Nilekani stated that AI will ultimately reward companies that adapt quickly rather than replace them entirely.
“AI will not replace a company like ours. It will amplify those who move with purpose and adapt with speed,” Nilekani told shareholders, positioning the Indian tech giant to capitalize on the ongoing AI-driven transformation.
Beyond Automated Coding
Nilekani’s remarks come at a critical time for India’s $300 billion technology sector, as rapid advancements in generative AI and automated coding tools spark fears of business model disruption.
While acknowledging public skepticism regarding the relevance of IT firms as software development becomes automated, Nilekani emphasized that enterprise-level IT requires a human-driven ecosystem far deeper than simple coding:
- Domain Expertise & System Integration: Merging complex, customized business operations with modern software.
- Structural Oversight: Critical management of cybersecurity, corporate governance, rigorous testing, and high-level architectural design.
Driving Urgency in Legacy Modernization
Instead of shrinking the tech pipeline, Nilekani argues that the AI revolution has accelerated the need for global enterprises to completely overhaul their aging technology infrastructure.
“The AI revolution has made legacy modernization urgent in a way nothing else has,” Nilekani noted. He identified the integration of AI models and autonomous agents into mission-critical enterprise systems as the industry’s next massive growth vehicle. Proving this point, Nilekani revealed that Infosys is already collaborating on active AI projects with 90% of its top 200 clients.
Market Context and Stock Headwinds
The reassuring tone from the leadership provides crucial messaging for investors during a tough financial stretch. Driven by macro tech anxieties and specific automated disruptions, Infosys shares have plummeted nearly 37% in 2026. The stock closed at ₹1,029 on June 23, sliding significantly from its 52-week high of ₹1,728.