India's IT Sector Resists AI Job Shock, Signaling a Value Chain Reckoning

A new report from an Indian think tank finds that the nation's vital IT services sector is showing surprising resilience against AI-driven job displacement, with hiring remaining strong. This challenges the dominant narrative of an imminent automation-fueled crisis, suggesting that the complexity of enterprise needs and existing contracts are creating a significant buffer. The finding reframes the AI transition from a story of immediate replacement to one of gradual, complex integration within massive service economies.

This apparent stability puts immense pressure on the sector's traditional talent pipeline, as the outlook for entry-level roles darkens. The durability of established firms like Infosys and TCS signals a forced evolution in their business models, shifting focus from mass recruitment to upskilling a workforce for AI-augmented tasks. The critical question now is not if jobs will be lost, but how quickly these giants can pivot their value proposition from labor arbitrage to strategic innovation.