Both AI and GCCs are new ways of growth and not a threat: Nandan Nilekani
Infosys chairman Nandan Nilekani said both Artificial Intelligence (AI) and Global Capability Centres (GCCs) are not a threat to IT services firms and that they are new ways of growth.
Answering a shareholder's query on which is a greater threat to an IT service firm- AI or exponential growth of GCCs, Nilekani at the company's 44th Annual General Meeting (AGM) on Wednesday said the current wave of GCC is not about cost arbitrage, it's about innovation arbitrage. "Quite a few companies are setting up research centres, AI/Machine Learning centres, GCCs, and we're helping many of them in this regard. This means that GCCs are no longer our competitors, they're critical clients for us," he said.
On AI, he said it is there in every part of the company's client conversations, and that they are seeing strong business traction, mainly driven by Infosys Topaz.
Nilekani also answered shareholders on how the company is mitigating business risks considering the present macroeconomic uncertainties. He said, "Infosys is the leader in AI, cloud, data and digital for our clients. Despite macro challenges, we are confident of our positioning both on cost takeout and discretionary spend."
He added that the company is continuously investing in reskilling and upskilling its employees in AI. "As of today, we have over 275,000 employees who are trained in AI at different levels of proficiency," he said.
Infosys CEO and MD Salil Parekh said India is a strategic market for the company and that it is growing well. "India is a critical geography for us, we work with different Indian entities, for example, with the government on income tax, GST. We are doing work with LIC on next-gen digital capabilities, working with the majority of the banks in India. So, for us, it's a strategic market," he said.
He also added that clients are prioritizing strategic AI partnerships using good traction for AI/Gen AI work, which is in software engineering, process optimisation, customer support, advisory services and sales & marketing. Senior executives also mentioned how the company is actively moving to tier-2, 3 cities to enable and attract more talent.
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Time of India
an hour ago
- Time of India
'GCCs no longer competitors, they're key clients for Infosys': Infosys chairman Nandan Nilekani
BENGALURU: Infosys chairman Nandan Nilekani believes global capability centres (GCCs) are no longer competitors but key clients in artificial intelligence. He feels GCCs have transformed from mere cost-saving centres into innovation hubs. "Both AI and GCCs are new waves of growth and not a threat. The current wave of GCCs is not about cost arbitrage, it's about innovation arbitrage," Nilekani said at the company's 44th annual general meeting (AGM) held virtually on Wednesday. "There are quite a few companies setting up AI/ML centres as GCCs, and we are helping many of them in this regard. This means that GCCs are no longer competitors, they're critical clients for us on AI," he added. Infosys recently expanded its capabilities with a full-fledged GCC practice and appointed Deval Shah, the former MD of Danske IT and Support Services India, as its leader. In an internal note to employees, Infosys said that as part of Project Altius, one of its key growth priorities is to win more business from GCCs. Responding to a question on AI's impact on the workforce, Nilekani said Infosys, as a digital-native firm, sees AI driving cultural and operational shifts across work, workplace, and workforce. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Giao dịch vàng CFDs với sàn môi giới tin cậy IC Markets Tìm hiểu thêm Undo "As of today, we have over 2,75,000 employees who are trained in AI at different levels of proficiency. Over 20,000 of our employees are using GitHub for coding. We are also investing in adding more AI builders and AI masters. " Despite macroeconomic challenges, Nilekani said he is confident of Infosys' positioning both on cost takeout deals and opportunities in discretionary spending. Nilekani also said supply chains will continue to shift as tariffs become another form of arbitrage. With trade rules emerging as dominant forces, there is a need to accelerate supply chain diversification, Nilekani insisted. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
New Indian Express
5 hours ago
- New Indian Express
Both AI and GCCs are new ways of growth and not a threat: Nandan Nilekani
Infosys chairman Nandan Nilekani said both Artificial Intelligence (AI) and Global Capability Centres (GCCs) are not a threat to IT services firms and that they are new ways of growth. Answering a shareholder's query on which is a greater threat to an IT service firm- AI or exponential growth of GCCs, Nilekani at the company's 44th Annual General Meeting (AGM) on Wednesday said the current wave of GCC is not about cost arbitrage, it's about innovation arbitrage. "Quite a few companies are setting up research centres, AI/Machine Learning centres, GCCs, and we're helping many of them in this regard. This means that GCCs are no longer our competitors, they're critical clients for us," he said. On AI, he said it is there in every part of the company's client conversations, and that they are seeing strong business traction, mainly driven by Infosys Topaz. Nilekani also answered shareholders on how the company is mitigating business risks considering the present macroeconomic uncertainties. He said, "Infosys is the leader in AI, cloud, data and digital for our clients. Despite macro challenges, we are confident of our positioning both on cost takeout and discretionary spend." He added that the company is continuously investing in reskilling and upskilling its employees in AI. "As of today, we have over 275,000 employees who are trained in AI at different levels of proficiency," he said. Infosys CEO and MD Salil Parekh said India is a strategic market for the company and that it is growing well. "India is a critical geography for us, we work with different Indian entities, for example, with the government on income tax, GST. We are doing work with LIC on next-gen digital capabilities, working with the majority of the banks in India. So, for us, it's a strategic market," he said. He also added that clients are prioritizing strategic AI partnerships using good traction for AI/Gen AI work, which is in software engineering, process optimisation, customer support, advisory services and sales & marketing. Senior executives also mentioned how the company is actively moving to tier-2, 3 cities to enable and attract more talent.
The Print
6 hours ago
- The Print
Markets log gains for 2nd day; Sensex, Nifty surge nearly 1 pc on global rally
Extending its previous day's rally, the 30-share Sensex jumped 700.40 points or 0.85 per cent to settle at 82,755.51. During the day, it surged 760.8 points or 0.92 per cent to 82,815.91. Besides, intense buying market heavyweights HDFC Bank, Infosys and Reliance Industries supported domestic equities, traders said. Mumbai, Jun 25 (PTI) Benchmark indices Sensex and Nifty surged nearly 1 per cent on Wednesday, powered by widespread buying and a positive trend in global equities amid easing tensions in the Middle East following a ceasefire between Iran and Israel. As many as 2,821 stocks advanced while 1,207 declined and 134 remained unchanged on the BSE. Similarly, the wider gauge NSE Nifty climbed 200.40 points or 0.80 per cent to 25,244.75. 'Benchmark indices extended their winning streak for a second consecutive session on Wednesday, closing decisively in the green as investor sentiment got a boost from the Israel-Iran ceasefire, which alleviated geopolitical overhang. The Nifty kicked off trade on a buoyant note, subsequently oscillated in a narrow band with a positive undertone…,' according to Bajaj Broking market commentary. From the Sensex pack, Titan, Mahindra & Mahindra, Infosys, Power Grid, Tata Consultancy Services and Bharti Airtel were among the major gainers. On the other hand, Bharat Electronics, Kotak Mahindra Bank and Axis Bank were the laggards. 'Markets maintained their positive tone and gained nearly a per cent, supported by favourable global cues. A strong handover from the US markets triggered a gap-up start, which was further fuelled by buying interest in select heavyweight stocks,' Ajit Mishra – SVP, Research, Religare Broking Ltd, said. Meanwhile, Mukesh Ambani and Gautam Adani have partnered to sell automotive fuels by leveraging each other's fuel retail networks — marking the second business collaboration between the two billionaire industrialists. Ambani's fuel venture with UK's BP, Jio-bp, will set up petrol and diesel dispensers at CNG retail outlets of Adani Total Gas Ltd (ATGL). Alongside, ATGL — the equal city gas joint venture of Adani Group and TotalEnergies of France — will put up CNG dispensing units at Jio-bp's fuel pumps, according to a joint statement on Wednesday. The BSE smallcap gauge jumped 1.59 per cent, and the midcap index surged 0.63 per cent. Among BSE sectoral indices, teck surged 1.69 per cent, BSE Focused IT (1.69 per cent), IT (1.68 per cent), telecommunication (1.42 per cent), consumer discretionary (1.26 per cent), consumer durables (1.26 per cent) and healthcare (1.11 per cent). In contrast, Capital Goods and oil & gas were the laggards. 'Indian equity markets have staged a recovery, supported by easing geopolitical tensions in the Middle East and a moderation in crude oil prices. While FIIs continue to withdraw capital, positive global cues are helping sustain domestic market momentum. Domestically, a favourable monsoon forecast, and moderating inflation are further underpinning the optimism,' Vinod Nair, Head of Research, Geojit Investments Limited, said. In Asian markets, South Korea's Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng settled higher. European markets were trading on a mixed note in mid-session trade. US markets ended significantly higher on Tuesday. Global oil benchmark Brent crude climbed 1.21 per cent to USD 67.95 a barrel. Foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,266.01 crore on Tuesday, according to exchange data. Domestic Institutional Investors (DII) bought stocks worth Rs 5,209.60 crore. On Tuesday, the Sensex settled in the green, climbing 158.32 points or 0.19 per cent to 82,055.11. On similar lines, the Nifty rose by 72.45 points or 0.29 per cent to end at 25,044.35. PTI SUM SUM BAL BAL This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.
