Conversations with IT industry clients indicate that enterprises are still not entirely sold on the idea of making AI bets, even as the broader IT services industry has begun shifting towards AI-led deal wins.
India’s IT services companies have entered FY27 with a measurable reduction in clients’ legacy technology debt. Firms such as Tech Mahindra have set ambitious targets of achieving a 30-35 per cent reduction in technical debt. Yet, clients, particularly from the manufacturing and BFSI sectors, told businessline that the industry remains cautious about inadvertently creating a new form of technical debt in the future.
“The worry is that enterprises may potentially end up creating a new tech debt. For example, in AI-assisted…

