Nandan Nilekani, chairman of the Indian software giant Infosys, dismissed concerns regarding mass unemployment caused by artificial intelligence. At the Bloomberg New Economy Forum in New Delhi, he stated that AI will instead revitalize small businesses and generate demand for new skills.
Nilekani noted that while AI can handle programming tasks, it also creates new roles in risk management, corporate governance, and security. He emphasized that 70% of business transformation involves organizational change, security, and managing AI hallucinations rather than just writing code.
Despite Nilekani's optimism, investors remain cautious. Shareholders are concerned about the company's ability to secure new business as AI coding tools from firms like OpenAI and Anthropic advance. Infosys stock has fallen by approximately 45% over the past two years.
The company faces pressure as traditional software outsourcing models, which rely on engineering graduates, are being challenged by AI automation. However, Nilekani insists that business demand is higher than ever, as companies must fundamentally rethink their operations to integrate AI.
