New Delhi, Nov 20 Artificial intelligence (AI) is set to become the biggest growth driver for India’s IT services and software export industry, with AI‑led projects projected to account for up to 20 per cent of the sector's revenue by 2030, a report said on Thursday.
The report from investment bank Equirus Capital said AI is transforming delivery models and boosting productivity by 45-50 per cent of Indian tech firms.
“AI adoption by Indian tech firms is leading to a shift in pricing models from Time and Material (T&M), which dominate at present, to Outcome-based pricing (OBP). AI tools, especially Agentic AI, are taking over tasks like testing, coding, and maintenance, leading to productivity jumps,” said Sandeep Gogia, Managing Director and Sector Lead – Tech and Digital, Equirus Capital.
This sharp productivity lift is pushing Indian IT firms to build deeper AI capabilities across delivery, platforms, and talent development.
The report said that three clusters will drive the next wave of mergers and acquisitions (M&A), such as AI-enabled delivery, AI-enabled platforms and AI skill advancement.
Tech services firms will increasingly acquire companies with proprietary IP, automation frameworks, and AI-first delivery models. Enterprise software platforms that embed AI into product architecture early will see significantly higher revenue momentum and strong investor interest, Equirus said.
"We forecast GCCs to surpass $100 billion by FY2030, as companies move high-value work from outsourcing to in-house centres, driven by policy support, expansion into tier 2 and 3 cities and India’s talent pool," said the report.
AI adoption is playing a key role in improving unit economics, with leading businesses in India experiencing 200–400 bps margin expansion from AI-driven operations automation.
Profitable digital firms are already seeing a 15–20 per cent valuation re-rating in CY25, the firm noted.
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