AI Effect: Indian IT Sector To Vanish In 4 Years?
The impact of the artificial intelligence advancement in the United States has been growing up as several companies like Microsoft and Google have also been firing their employees.
By: Tupaki Desk | 19 Feb 2026 1:20 PM ISTThe impact of the artificial intelligence advancement in the United States has been growing up as several companies like Microsoft and Google have also been firing their employees.
While the impact of AI revolution is still not fully felt in India. Certain people are anticipating that the evolution is not too far from now and it is going to be pretty lethal as well.
Venture capitalist Vinod Khosla, founder of Sun Microsystems and Khosla Ventures, has stirred debate with a strong warning about India’s IT future.
Speaking at an AI Impact Summit, he said India’s IT services industry could largely vanish in its current form by 2030 as artificial intelligence reshapes global business models.
Khosla argued that traditional outsourcing and BPO services will be replaced by AI driven systems. According to him, companies that depend on large scale human labor for repetitive tech work will struggle as AI tools become more capable and affordable.
He even predicted that artificial general intelligence could emerge within the next two years, accelerating disruption.
However, he also pointed out that India has strong engineering talent and educational depth. He believes Indian firms can build new AI based services and offer them globally, but the transition will be highly disruptive for the domestic economy.
Khosla also spoke about AI in healthcare, suggesting AI doctors could help bridge India’s doctor patient gap at a relatively low cost. Looking ahead, he added that as AI advances further, work itself may eventually become optional for many people.
