89% of Indian Tech Service Firms Launch GenAI POCs
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Synopsis
A report reveals that 89% of Indian tech service enterprises have begun generative AI proof-of-concept projects, with 33% already operational. This shift reflects the industry's confidence in AI's transformative potential, poised to enhance productivity and customer satisfaction significantly by 2030.
Key Takeaways
- 89% of tech firms in India have started GenAI POCs.
- 33% have moved to production.
- AI is reshaping the software services industry.
- Productivity boosts of 43-45% expected by 2030.
- Investment in AI is increasing across organizations.
New Delhi, Feb 10 (NationPress) At least 89% of India's technology service companies have embarked on generative AI (GenAI) proof-of-concept (POC) initiatives, with 33% already in full production, as reported on Monday.
Artificial Intelligence (AI) is significantly transforming India's software services landscape, fostering innovation, enhancing efficiency, and creating new business models, according to the latest report from EY India.
Investment in AI continues to rise, with 78% of organizations allocating dedicated budgets and strategies for GenAI execution.
The technology services industry is expected to experience a 43-45% increase in productivity across over 500 roles by 2030. Additionally, 44% of participants acknowledge AI's contribution to improving customer satisfaction, while 28% associate it with revenue growth, the report highlighted.
“Businesses are transitioning from experimentation to large-scale AI implementation. The swift shift from POC to organization-wide utilization underscores the sector's trust in AI's capabilities,” stated Abhinav Johri, Technology Consulting Partner at EY India.
To fully harness AI's economic potential and bolster India's competitive position in the digital age, responsible scaling through solid infrastructure, governance, and talent development is crucial, he emphasized.
The technology services field is set to achieve a 43-45% productivity uplift across more than 500 roles by 2030.
Jobs in software development are projected to see a productivity boost of around 60%, while roles in BPO services and IT consulting may experience approximately 52% and 47% enhancements, respectively.
Together, these three sectors are expected to contribute to 50% to 60% of overall productivity growth in technology services.
Moreover, companies have identified specific focal points for GenAI implementation: about 56% concentrate on development, 39% on operations, 28% on quality testing, while 22% prioritize both design and prototyping as well as integration and deployment, as stated in the report.
