Artificial intelligence<\/a> is underpinning technology deals that Indian software services providers are \u200bcompeting for, as companies move from AI test deployments to large projects, \u200cWipro CEO Srini Pallia said.<\/p>\nAs budget constraints loosen, Wipro is bidding for several small AI deals \u200calongside large- and mega-deals, Pallia said on the sidelines of the World Economic Forum’s annual meeting in Davos, Switzerland, without providing details.<\/p>\n
“We’ll go after both (small and large deals) because different clients, different industries, and different markets are at different maturity \u2060stages,” he told the Reuters \u200cGlobal Markets Forum.<\/p>\n
Pallia acknowledged intense pricing pressure as AI compresses delivery timelines and team sizes, but predicted there will be more \u200dsmall deals due to AI.<\/p>\n
India’s IT sector, which represents about $283 billion in annual revenue, was hit for several quarters by corporate cuts to technology spending as clients focused only \u200bon essential or cost-cutting initiatives amid geopolitical turmoil and macro uncertainties.<\/p>\n
Enterprise AI \u200cspending is moving from experimentation to accountability, and Wipro offers both AI consulting and IT services for this transition, he said.<\/p>\n
“For our clients, 2025 was more about deploying AI, proof of concepts, and bringing productivity benefits. That’s dramatically changing in 2026 because the boards and the CEOs are asking them where the \u2060return on investment is,” Pallia said.<\/p>\n
Pallia did not \u200bexpect tech budgets to dramatically increase, but said \u200bclients are optimizing spending and adopting cost-saving technologies.<\/p>\n
AI-assisted software development will cost about 25% less, with significant productivity gains in coding \u200dand testing, he said. \u2060That will translate to “new and more projects, (and is) why IT budgets are not going to shrink in the long run,” he said.<\/p>\n
Wipro in 2023 \u2060launched a three-year plan to invest $1 billion to advance its AI capabilities.<\/p>\n
(Join GMF on LSEG \u200cMessenger for live interviews: )<\/p>\n
(Reporting by Divya Chowdhury in Davos and Haripriya \u200cSuresh in Bengaluru; Editing by Cynthia Osterman)<\/p>\n","protected":false},"excerpt":{"rendered":"By Divya Chowdhury and Haripriya Suresh DAVOS, Switzerland, Jan 20 (Reuters) – Artificial intelligence is underpinning technology deals…\n","protected":false},"author":2,"featured_media":243791,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[365,363,364,138198,142841,111,139,69,1769,145,1721,52833],"class_list":{"0":"post-243790","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-artificialintelligence","11":"tag-davos","12":"tag-indian-software-services","13":"tag-new-zealand","14":"tag-newzealand","15":"tag-nz","16":"tag-switzerland","17":"tag-technology","18":"tag-wipro","19":"tag-world-economic-forum"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/243790","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=243790"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/243790\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/243791"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=243790"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=243790"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=243790"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}