Clients of IT firms now prioritise transformation around AI
BENGALURU: From small to large enterprises, clients of IT services firms have started prioritising digital transformation and IT companies leverage Artificial Intelligence (AI) to help them transform their businesses.
Wipro on Monday announced that Vorwerk, a direct sales company in Europe, has selected the company to manage and transform the company's IT landscape. Wipro will make use of its AI-powered infrastructure operations solution and will engage with Vorwerk's technology partners.
Wipro CEO Srini Pallia during the Q4 earnings conference said clients are focused on cost, speed, and AI-led efficiency. The company recently launched GitHub Center of Excellence to accelerate AI innovation. Last month, Wipro won a £500 million deal with UK's Phoenix Group. As part of this, Wipro will assume management of the core policy administration ALPHA platform, modernising it with AI, automation, cloud, and digital transformation technologies.
For Tata Consultancy Services (TCS), AI, GenAI, data & cloud IoT, and enterprise solutions drove strong client engagements and growth in the fourth quarter of FY25. "Our pipeline of AI, GenAI engagement is higher than in the last few quarters, and we saw a significant increase in deal wins across AI for IT and AI for business," said TCS CEO and MD K Krithivasan during the company's Q4 earnings conference.
Data and AI initiatives are seeing significant adoption for driving operational efficiencies and improving customer experience, he added.
CEOs of top IT firms said that clients want to leverage AI and are seeing how they can deploy AI across the value chain.
The second largest IT services firm Infosys is seeing growing demand from clients to partner with them on AI. "They are moving from a use case-based approach to an AI-led transformational approach with AI agents playing a critical role," said the company's CEO and MD Salil Parekh.
The company is working on AI projects by bringing Infosys Topaz, a generative and edge AI-powered services and solutions. The CEO also said the company is helping a large US financial services company navigate the AI transformation to deliver hyper-personalised conversational AI-powered customer experience with accuracy of over 80%.
Due to this increased focus on AI capabilities, employees with specialised AI skill sets are in demand. 'Roles such as AI/ML Engineers, Data Scientists, Cloud Architects, DevOps Engineers, and ESG Analysts remain in high demand, often commanding 8-10% premium in compensation,' said Sachin Alug, CEO of NLB Services.
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