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Indian IT industry plans huge investments in AI and Automation in 2019

Today, Information technology is facing threats on many fronts. It has to deal with increasing protectionism, curbs on data flow and changes in technological shifts. The Indian IT industry has a plan for big investments in automation and artificial intelligence and has hopes for the New Year. There will be several transformative opportunities in it.

Lessons from 2018

NASSCOM feels that 2018 was the year of ‘Digital at Scale’ and IT firms had a focus on leveraging new technologies. Also there was a focus on creation of right skills based on innovation, partnerships and policies. There is a projection that exports will grow at 7-9% for the next year. Moreover, there will be a growth of 10-12% in domestic revenue.  The New Year will transform many things in a big way. The industry is now at the front position of change, and also helps the clients in optimizing the operations and staying ahead of all competition. There is a Protectionist stance in the US, Australia and the UK. Many governments are bringing strict regulations regarding procuring work visas.

Present scenario

Protectionism today is an irritant and the anti-immigration language discriminates against Indian companies. There is no level-playing field for delivering business. Furthermore, the business model of the Indian technology industry is moving from cost-arbitrage to providing solutions and value creation. Companies are closely examining all international issues and are geared up to deal with a dynamic scenario by adopting local hiring. Furthermore the approach is on locating tasks in the geography caring for the best interests of clients.

G.D.P.R implementation

The implementation of General Data Protection Regulation in the European Union was a big development in 2018. The aim here is strengthening and protecting data of persons in the region. There will be serious penalties if companies do not comply.  India now has the opportunity to build expertise and capabilities, and create fresh consulting and advisory businesses. It can also develop a market differentiator and become competitive for customers belonging to the EU.

New rules                                                        

India is developing rules for Data Protection, dealing with consent, and defining personal and sensitive data. It will go for exemptions, and some grounds for processing data. Besides there will be a focus on storage restrictions for data, personal rights and the right to be forgotten.  It will restrict cross-border transfer of personal data, which will trouble several global technology companies. Now they have to host sensitive data in local servers. The G.D.P.R rollout and other regulations made global enterprises to assess compliance. Moreover, there is an increasing threat and high-profile breaches leading to better focus on regulations. This has ensured that the governance risk and compliance services and cyber security are becoming very popular.


Tata Consultancy Services crossing the $100-billion market valuation was also a milestone for the Indian IT sector. Infosys has planned a three-year makeover strategy to focus on stabilization, and for accelerating growth and gaining momentum. Areas like Block chain, AI, Cyber Security and Internet of Things, will be trending in 2019. Indian IT establishments will add 250,000 new jobs. Automation and robotics will facilitate a new workplace culture. Moreover the skill requirements, AI development, big data analytics, machine learning will have a high pay.

What are the demands?

All employees must now think of value and increase their skill sets for the business of today. AI will make some jobs redundant but it possesses a high potential in creating new roles. NASSCOM also said that there was an addition of more than, 1,200 new advanced technology startups in 2018. Here the Data Analytics was a large contributor. The industry can finally hope for big deals, strong growth and a good margin in the New Year.

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