Is India Ready for the AI Revolution? HCLTech CEO's Bold Vision for the Future

India's IT Sector Needs a Transformation: HCLTech CEO Calls for Own Language Models

In a rapidly changing world, the Indian IT sector faces a critical challenge. Generative AI and emerging technologies are reshaping the industry, leaving many traditional business models vulnerable. C Vijayakumar, CEO of HCLTech, recently highlighted the urgent need for India’s IT firms to rethink their approach. According to Vijayakumar, India should create its own language models to avoid heavy dependency on other countries, particularly amidst growing geopolitical concerns.

In this article, we’ll explore Vijayakumar’s vision for the future of India’s IT industry, the impact of generative AI, and why building independent AI infrastructure is essential for India’s long-term competitiveness.

The Growing Threat of Generative AI

Generative AI is causing massive disruption across the globe. This technology can write code, create content, and even assist in complex tasks like software development. For Indian IT firms, which predominantly serve clients in the United States for software services, this shift presents both challenges and opportunities.

At an industry event in Mumbai, C Vijayakumar stressed that the arrival of generative AI is fundamentally different from the earlier waves of cloud computing and digital transformation. These previous trends helped Indian IT companies thrive, but AI’s potential is much more profound.

Vijayakumar explained that tasks that once took years to complete—such as a technology transformation program valued at $1 billion—could now be completed in just a few years, thanks to AI’s efficiency. This drastic reduction in timelines could change the nature of work for IT companies globally.

What Does This Mean for India’s IT Firms?

For Indian IT companies, the rise of generative AI presents a major threat to their existing business models. These companies are traditionally built around providing software as a service (SaaS) and supporting businesses in the US and other regions. But as AI systems get smarter, tasks like writing code or developing software products could be done much faster, with fewer human resources.

Vijayakumar said, "The changes that AI is assuring are very different, and we need to be more proactive to even categorize our revenues to create completely new businesses." Indian IT firms need to adapt quickly to these changes if they want to maintain their dominance in the global market.

India’s Dependence on Foreign Language Models: A Risk to National Security

One of the most pressing concerns raised by Vijayakumar is India’s heavy reliance on foreign language models. Currently, companies like OpenAI, Google, and others are leaders in developing large language models (LLMs). These models power many of the most advanced AI systems used worldwide.

However, Vijayakumar warned that relying on these foreign models could be risky. With geopolitical tensions rising, countries may limit the usage of certain language models beyond their borders. He pointed out that large language models may no longer be open-source in the future, making them valuable commodities that could become a tool in global political games.

Vijayakumar emphasized the importance of building India’s own language models to reduce dependency on foreign companies. He argued that India needs to invest in the training infrastructure for these models to maintain a competitive advantage in the AI-driven world.

Why India Must Build Its Own Language Models

To succeed in the AI-driven future, India must be self-sufficient in terms of the technology it relies on. By building its own language models, India could:

1. Ensure Long-Term Security – Developing homegrown AI models will prevent the country from being vulnerable to external policies or restrictions imposed by foreign governments.
2. Control Data Privacy – India can better manage its data and ensure compliance with local laws and regulations without being dependent on foreign entities.
3. Promote Innovation – India’s tech ecosystem could benefit from fostering local talent and creating AI solutions that are tailored to the unique challenges faced by Indian businesses.
4. Stay Competitive – As global demand for AI technology surges, countries with robust AI infrastructures will have a major competitive edge. India can maintain its position as a global leader in the IT sector by investing in AI research and development.

The Need for India to Overcome Complacency

The Indian IT sector has been incredibly successful, but as Infosys CEO Salil Parekh recently stated, the industry must remain "non-complacent". With generative AI rapidly evolving, businesses must adapt quickly or risk being left behind. Parekh emphasized that paranoia—a constant vigilance—is crucial to staying competitive.

The rise of AI tools like ChatGPT, Claude, and DeepSeek demonstrates that AI is evolving faster than expected. Indian IT firms must embrace innovative solutions, prioritize AI research, and upskill their workforce to keep pace with these advancements.

What Needs to Change?

According to HCLTech’s CEO, here’s how India’s IT industry can respond to these challenges:

1. Rethink Business Models

Indian IT companies must embrace AI-driven business models. This includes integrating AI into every aspect of their operations—from software development to client support. AI can help companies improve efficiency, reduce costs, and even automate complex tasks that were previously time-consuming.

2. Invest in AI Research and Development

India needs to establish itself as a leader in AI research. By investing in the development of proprietary language models and other AI technologies, India can stay ahead of the curve and reduce its dependency on foreign models.

3. Adopt a Global Perspective

The IT sector should not only focus on the domestic market but should look for ways to export AI solutions globally. As AI transforms industries across the world, India has an opportunity to become a major exporter of AI technology.

4. Foster Collaboration Between Industry and Government

To build its own language models, India will need to foster collaboration between the private sector, academia, and the government. The Indian government can play a key role by offering funding for AI research and creating policies that encourage innovation.

How Can AI Revolutionize India’s IT Sector?

The rise of generative AI opens up incredible possibilities for India’s IT sector. These are some of the potential changes that could reshape the industry:

1. Automating Software Development – AI can help developers write code faster and more efficiently, reducing development time and costs.
2. Improved Customer Support – AI-powered chatbots and virtual assistants can handle customer queries more effectively, freeing up human agents to focus on complex issues.
3. Faster Product Development – Generative AI can speed up the timeline for launching new products, allowing companies to go to market faster.
4. Cost Reduction – AI can automate repetitive tasks, which can significantly reduce operational costs for businesses.

India’s AI Future Is Now

The time for India to embrace AI is now. As generative AI continues to disrupt industries worldwide, Indian IT companies must adapt to stay competitive. By creating their own language models and investing in AI research and development, India can ensure its place at the forefront of global technological innovation.

As HCLTech CEO C Vijayakumar puts it, India has the potential to "build and create" its own AI infrastructure, which will not only secure long-term competitive advantage but also contribute to the global AI landscape.

The road ahead is full of challenges, but with the right strategy and mindset, India’s IT sector can lead the world in the AI revolution.