Key Points
- MeitY secretary says focus must shift from job loss fears to reskilling investment
- India’s IT industry exports $246 billion annually and employs 6 million professionals
- Consultation discussed expansion of IT operations into emerging regional hubs
The government has urged India’s IT services industry to shift its focus from fears of job displacement to investing in reskilling and upskilling its workforce for the artificial intelligence era, a senior official said on Monday (15 June).
S Krishnan, secretary, Ministry of Electronics and Information Technology (MeitY), said the development and deployment of AI applications would require a large number of trained professionals.
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“The focus must shift from concerns about job loss to investing in reskilling, upskilling, talent development and technological upgradation,” he said at an industry consultation in Kochi. “That is what India has to offer to the world.”
The consultation, titled “Supporting AI Transformation of IT Services Industry”, brought together officials from MeitY, the Kerala government and industry representatives to discuss challenges and growth opportunities as AI reshapes service delivery models.
India’s IT industry contributes approximately $246 billion in annual exports and employs around 6 million professionals, making it one of the most significant sectors of the economy. The consultation acknowledged that generative AI is rapidly gaining traction across IT and business process management operations, with companies deploying it for greater productivity and cost optimisation.
Client expectations are also shifting. Companies increasingly demand end-to-end transformation solutions rather than process management services, driving demand for new skills and domain-specific roles across sectors such as banking and financial services, healthcare, manufacturing and retail.
Key areas under discussion
The consultation examined how the IT services industry is adapting to AI-led changes in service delivery and client expectations. Participants discussed the need for large-scale upskilling of the Indian IT and BPM workforce in AI and digital technologies to maintain global competitiveness.
The discussions also covered investments in AI, generative AI, agentic AI — a form of AI that can take autonomous actions to achieve goals — automation, analytics and cloud technologies. The development of AI-powered products, co-pilots and automation platforms featured prominently in the agenda.
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Regional expansion was another focus area. Participants discussed expanding IT and BPM operations into new and emerging technology hubs to generate employment and ensure balanced regional growth across the country.
IndiaAI Mission alignment
The consultation aligns with the IndiaAI Mission, which the Cabinet approved in March 2024. It complements ongoing initiatives under the IndiaAI Application Development and IndiaAI Futureskills programmes, both aimed at building domestic AI capabilities and preparing the workforce for technology transitions.
By the numbers
- USD 246 billion
- India’s annual IT services exports
- 6 million
- IT professionals employed in India
The meeting was organised by Software Technology Parks of India (STPI), Kochi. Among those present were K K Singh, joint secretary, MeitY; the IT secretary of the Kerala government; Rajeshwar Singh Jenwar, director and head of division, SIPD Division, MeitY; and STPI DG Arvind Kumar.
The consultation is part of MeitY’s ongoing engagement with the industry to develop forward-looking policy support for the IT sector as it navigates the transition from traditional service delivery to AI-driven operations.
Your Questions, Answered
What did MeitY announce at the Kochi AI consultation?
MeitY secretary S Krishnan urged India’s IT industry to shift focus from job loss concerns to investing in reskilling, upskilling and talent development for the AI era. The consultation discussed how the sector can transform into an AI services industry.
How big is India’s IT services industry?
India’s IT industry contributes approximately USD 246 billion in annual exports and employs around 6 million professionals, making it one of the most significant sectors of the Indian economy.
What is the IndiaAI Mission?
The IndiaAI Mission was approved by the Cabinet in March 2024. It includes initiatives under IndiaAI Application Development and IndiaAI Futureskills programmes aimed at building domestic AI capabilities and preparing the workforce for technology transitions.
What AI technologies were discussed at the consultation?
The consultation covered investments in AI, generative AI, agentic AI, automation, analytics and cloud technologies. Discussions also included development of AI-powered products, co-pilots and automation platforms.