Gen AI to Reshape IT Landscape: Persistent Systems, HCL Technologies Leaders Discuss Future

At Fortune India's Best CEOs 2025 awards ceremony in Mumbai, Sandeep Kalra, CEO of Persistent Systems Ltd, and C. Vijayakumar, Managing Director & CEO of HCL Technologies Ltd, discussed the profound impact of Generative AI on the global technology sector. They believe AI will fundamentally transform IT services and client businesses, with adoption accelerating significantly from its current early phase.

Vijayakumar noted that industry leaders are highly aware of AI's transformative potential for both services and client operations. He anticipates a rapid speed-up in adoption, with the industry already three years into this cycle. Kalra echoed this sentiment, describing the current period as the beginning of a long expansion, expecting substantial adoption over the next 5-7 years as companies build their data foundations.

Addressing concerns about job displacement, both leaders stressed that Generative AI is designed to amplify human capabilities across various functions like customer support, marketing, and software development, rather than replace jobs. Kalra stated, "It’s not AI replacing humans. It’s AI enabling humans to do much more, much faster," highlighting immense potential in sectors like pharmaceuticals and financial services.

Regarding client understanding of AI, Vijayakumar described the market as energetic but confused, with high awareness but also significant ambiguity. He pointed out that companies sometimes mistake traditional AI capabilities for Generative AI. Clearer use cases are emerging, with successful deployments expected at scale.

Kalra explained that IT service firms guide clients by focusing on business needs rather than pushing AI everywhere. Deep context and business-specific analysis are crucial. Partnerships with hyperscalers and chip companies were deemed essential by Vijayakumar for building end-to-end capabilities from silicon to applications. Kalra added that companies must act as customer guardians, selecting the best technology at the right price point.

For future IT talent, Kalra sees a phase of reinvention, with significant investment in training and development. He foresees teams including more individuals from diverse domains. Vijayakumar emphasized the importance of intellectual property and predicted that engineers will manage AI agents, leading to more self-managed teams.

Their advice to CEOs was to "start from business, not technology" and to adopt an "AI-now mindset," focusing on making their people AI-ready.

Impact

This news significantly impacts the Indian stock market by highlighting the strategic direction and growth potential of major IT players like HCL Technologies and Persistent Systems in the rapidly evolving Generative AI landscape. It signals investor confidence in their ability to adapt and lead in the new technological era, influencing investment decisions within the IT sector. Rating: 8/10

Terms Explained

• Generative AI (Gen AI): A type of artificial intelligence that can create new content, such as text, images, music, or code, based on the data it has been trained on.
• Agentic Systems: AI systems designed to act autonomously to achieve specific goals, often involving decision-making and task execution without constant human supervision.
• Hyperscalers: Large cloud computing providers (like Amazon Web Services, Microsoft Azure, Google Cloud) that offer massive, scalable computing resources.
• Silicon: Refers to the fundamental semiconductor chips that power all electronic devices and computing infrastructure.
• Cognitive Infrastructure: The underlying computing systems and architecture that enable AI and machine learning capabilities.