Archive · 26 Oct 2025
AI in Indian Tech: Efficiency Gains Stalled?
Indian tech companies are using AI, but not seeing the expected boost in profits.
The problem isn't the AI itself, but how companies are using it.
They're not changing how they work to match the new AI tools.
Imagine a call center: instead of just adding AI, the center needed to change how it operates.
This means companies need to rethink how work is done, measure success differently, and help workers learn new skills.
This will lead to better results, better profits and a workforce that works with AI more effectively.
Indian tech firms have widely adopted AI to boost efficiency.
Companies are not seeing expected productivity gains in company margins.
Legacy work architecture hinders AI's impact and value.
Redesigning work from an AI-first perspective is key to unlocking efficiency.
Companies must rethink metrics and career paths in response to AI.
- Who
- Indian infotech companies and clients
- What
- The lack of productivity gains from AI adoption in the infotech sector
- When
- Current
- Where
- India
- Why
- To examine why AI adoption isn't improving company margins and to suggest improvements
- Industry
- Indian infotech services
- Issue
- AI adoption not translating to margin improvement
- Key Problem
- Legacy work architecture
- Solution
- Redesigning work from an AI-first perspective
- Focus
- Translating AI adoption into tangible business gains
- Authors
- EY India tech sector leaders