At a recent press conference in Mumbai, Infosys founder Narayana Murthy expressed strong skepticism about the way artificial intelligence (AI) is being perceived and promoted in India. He criticized the growing trend of labeling conventional software programs as AI, calling them nothing more than “silly old programs.”
Murthy’s remarks highlight a significant issue: the superficial branding of ordinary software as AI. He pointed out that the term “AI” has become a fashionable buzzword, often used without merit. “I think somehow it has become a fashion in India to talk of AI for everything. I have seen several normal, ordinary programs touted as AI,” he stated.
This raises an important question: Why is India, often hailed as a global software powerhouse, resorting to rebranding basic software as AI? For over 25 years, India’s political leaders and technology moguls have touted the country’s status as a software superpower. If this claim were entirely accurate, India should have been at the forefront of AI innovation. Instead, it appears to be struggling to produce globally recognized AI models, resorting to exaggerated claims about its technological advancements.
A more pressing concern is the role of companies like Infosys in this scenario. Why has Infosys itself not led the charge in AI development? Despite its stature as one of India’s premier IT firms, Infosys has yet to deliver a breakthrough AI model that can compete on a global scale. The question arises: Has Infosys seriously pursued AI research, or has it remained content with its traditional IT services model?
One of the key reasons behind this stagnation is the lack of substantial investment in research and development (R&D). Unlike global tech giants such as Google, Microsoft, and OpenAI, which allocate billions of dollars toward AI research, Indian IT firms have largely focused on service-based revenue rather than groundbreaking innovation.
If industry leaders like Murthy had prioritized R&D investment over the years, India’s AI landscape might have looked vastly different today.
The urgency for Indian IT firms to embrace AI development is not just about prestige; it is about survival. AI is advancing rapidly, with sophisticated models capable of writing and optimizing software code. As AI-driven automation continues to evolve, traditional IT service contracts—once the backbone of companies like Infosys—may see a sharp decline. Without a proactive approach to AI, Indian IT firms risk losing relevance in a world increasingly dominated by intelligent automation.
To address this challenge, Indian software giants must take several decisive steps. First and foremost, they must invest heavily in R&D to foster innovation in AI and machine learning. Without significant financial and intellectual capital dedicated to AI research, they will continue to lag behind their global counterparts.
Additionally, forming strategic collaborations with leading AI research labs and global tech firms could accelerate the development of cutting-edge AI solutions. By leveraging foreign expertise and knowledge exchange, Indian companies can fast-track their AI capabilities.
Another critical area for improvement is workforce training. Indian IT firms must prioritize upskilling their employees, equipping them with advanced knowledge in AI, deep learning, and data science. Providing specialized training programs and encouraging employees to work on AI-driven projects will create a skilled workforce capable of competing on a global scale.
Most importantly, Indian software companies must cultivate the ambition to transition from being mere service providers to world-class product developers. Instead of relying on outsourcing contracts, they should focus on creating proprietary AI-driven products that can compete internationally. By fostering a culture of innovation and entrepreneurship, Indian IT firms can transform themselves into AI leaders rather than followers.
To remain competitive, Indian tech giants must shift their focus from merely providing IT services to leading AI innovation. This requires a robust commitment to research, greater collaboration with global AI research initiatives, and a willingness to take bold risks. Only then can India move beyond the rhetoric of being a software superpower and truly establish itself as a leader in AI.
