India’s IT and business process outsourcing (BPO) sector, once the world’s leading “back office” due to its large, English-speaking, low-cost labor force, now faces disruption from AI technologies that can perform many routine coding and back-office tasks more cheaply and efficiently. While Indian IT companies have begun shifting toward AI-enabled higher-value services and cutting workforce size, experts warn that AI could eventually erode their traditional labor arbitrage model, potentially shrinking service exports and challenging the economic ecosystem supported by the sector’s high-earning workers. This evolution poses significant uncertainty for the future of India’s workforce and economy reliant on IT-driven growth.
https://asteriskmag.com/issues/15/what-will-happen-to-indian-it