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89 pc of Indian tech service enterprises begin GenAI proof-of-concept projects

By IANS | Updated: February 10, 2025 13:40 IST

New Delhi, Feb 10 At least 89 per cent of Indian technology service enterprises have initiated generative AI ...

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New Delhi, Feb 10 At least 89 per cent of Indian technology service enterprises have initiated generative AI (GenAI) proof-of-concept (POC) projects, with 33 per cent already in production, according to a report on Monday.

Artificial Intelligence (AI) is fundamentally reshaping India's software services industry, driving innovation, efficiency, and new business models, said EY India in its report.

AI investments also continue to surge as 78 per cent of organisations have dedicated budgets and strategies for GenAI implementation.

Technology services sector is poised to witness a 43-45 per cent productivity boost across more than 500 roles by 2030 and 44 per cent of those surveyed recognize AI’s role in enhancing customer satisfaction while 28 per cent link it to revenue growth, the report noted.

“Enterprises are moving beyond experimentation to putting AI into production at scale. The rapid transition from POC to enterprise-wide adoption reflects the industry’s confidence in AI’s potential,” said Abhinav Johri, Technology Consulting Partner, EY India.

Scaling AI responsibly through robust infrastructure, governance, and talent development will be key to unlocking its full economic impact and strengthening India's competitive edge in the digital era, he added.

The technology services sector is poised to witness a 43-45 per cent productivity boost across more than 500 roles by 2030.

Roles in software development is expected to see approximately 60 per cent productivity improvement, while those in the BPO services and IT consulting could witness around 52 per cent and 47 per cent improvement, respectively.

Collectively, these three areas are anticipated to account for 50 per cent to 60 per cent of overall productivity enhancement in technology services.

Furthermore, organisations have prioritised specific areas for GenAI implementation -- around 56 per cent of companies focus on development, while 39 per cent emphasise operations, 28 per cent prioritise quality testing, whereas 22 per cent concentrate on designing and prototyping as well as integration and deployment each, the report mentioned.

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

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