Artificial Intelligence is emerging as the single-biggest catalyst for India’s IT services and software export industry, with AI-driven projects projected to contribute up to 20% of total revenues by 2030, according to a new report by leading investment banking and financial services firm Equirus Capital.

The findings push back against fears that automation could threaten India’s tech workforce, arguing instead that AI is unlocking sweeping productivity gains, pushing companies toward new delivery models, and fuelling a fresh wave of mergers and acquisitions across the sector.

AI adoption is triggering a decisive shift away from traditional time-and-materials pricing toward outcome-based contracts, the report notes.

“AI tools, especially Agentic AI, are taking over tasks like testing, c

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