AI reshapes India's IT services sector contracts as clients demand more for less

Artificial intelligence promised to disrupt India's IT industry and it is delivering. Outsourcing giants like Tata Consultancy Services, Infosys, Wipro, HCLTech and Cognizant are rejigging business models, increasingly tying fees to performance outcomes instead of hours worked, as clients demand steep price cuts and more productivity. Industry executives also say they are losing some ‌work entirely as customers use AI to shift tasks in-house, while all the uncertainty that the new technology has brought is resulting in shorter contracts.