Discover why the Nifty IT index has plunged 34% from its peak. Advanced AI like Anthropic's 'Mythos' is destroying the traditional headcount billing model, sparking fears that India's tech sector has lost the AI war.

Discover why the Nifty IT index has plunged 34% from its peak. Advanced AI like Anthropic's ‘Mythos’ is destroying the traditional headcount billing model, sparking fears that India's tech sector has lost the AI war.

'Down 34%': AI drives Nifty IT index to its lowest in 30 months as market signals India has already lost AI race

As the Indian information technology sector trembles amid mounting artificial intelligence fears and a record equity sell-off in the markets, the Nifty IT index has witnessed a severe bloodbath in recent days, hitting a 30-month low on Tuesday and wiping out nearly ₹10,000 crore in foreign investment from Indian tech stocks in just the last few days. The sell-off is driven by an “AI panic trade” triggered by a research report and the launch of Anthropic’s Claude Code this week.&nbsp;A report published by Citrini Research and co-authored by Alap Shah has fuelled fresh AI concerns for the IT sector. The report, titled “The 2028 Global Intelligence Crisis,” maps a doomsday scenario for India’s prized sector, which has long been the preferred choice of the country’s top talent.&nbsp;It presents a fictional perspective set on June 30, 2028, looking back at how AI decimated the global services economy, especially the Indian IT industry, which relies on cheaper software solutions for customers in advanced economies such as the US.&nbsp;Citrini argues that India’s services model was built on providing developers at a fraction of Western wages. However, with the advent of “agentic AI,” the marginal cost of a coding agent has collapsed to the cost of electricity, potentially rendering Indian developers obsolete.&nbsp;Also Read: <a href="https://www.wionews.com/india-news/god-s-own-country-to-officially-become-keralam-union-cabinet-approves-decision-to-rename-kerala-1771932449695">God’s Own Country to officially become 'Keralam': Union Cabinet approves decision to rename Kerala</a>&nbsp;The report further introduces the idea of “Ghost GDP,” contemplating a scenario where corporate profits and productivity (GDP) soar on paper but are not passed on to humans as they are replaced by AI, leading to a halt in money circulation back into the consumer economy.&nbsp;It predicts that by 2027, the $200+ billion services surplus that anchors India’s economy could “evaporate,” causing the rupee to crash by 18% and forcing India into preliminary bailout talks with the IMF.&nbsp;It also sketches a “2028 reality” in which clients at prominent companies like Infosys and Wipro begin cancelling contracts to build software internally using artificial intelligence.The IT and Business Process Management (IT-BPM) sector accounts for approximately 7.5% to 8% of India’s total GDP and contributes over 25% of the country’s total export earnings. The sector employs nearly 5.8 to 5.95 million professionals and acts as a primary source of foreign exchange, bringing in an estimated $224 billion in revenue for FY25.&nbsp;In contrast to the Citrini report, analysts from JPMorgan and HSBC argue that even if AI can write perfect code, human experts will still be needed to “plumb” it into massive corporate systems without breaking them.&nbsp;NASSCOM recently underlined that upgrading global legacy code (like COBOL) is a $1.6 trillion opportunity, and AI does not kill that work; it simply makes it faster, allowing Indian firms to handle larger volumes of projects. &nbsp;India has also begun preparing for potential strain on the outsourcing industry through Global Capability Centres (GCCs), over 50% of which are now located in the country, further strengthening its position as a global R&amp;D hub.

Citrini argues that India’s services model was built on providing developers at a fraction of Western wages. However, with the advent of “agentic AI,” the marginal cost of a coding agent has collapsed to the cost of electricity, potentially rendering Indian developers obsolete.

As the Indian information technology sector trembles amid mounting artificial intelligence fears and a record equity sell-off in the markets, the Nifty IT index has witnessed a severe bloodbath in recent days, hitting a 30-month low on Tuesday and wiping out nearly ₹10,000 crore in foreign investment from Indian tech stocks in just the last few days. The sell-off is driven by an “AI panic trade” triggered by a research report and the launch of Anthropic’s Claude Code this week. A report published by Citrini Research and co-authored by Alap Shah has fuelled fresh AI concerns for the IT sector. The report, titled “The 2028 Global Intelligence Crisis,” maps a doomsday scenario for India’s prized sector, which has long been the preferred choice of the country’s top talent. It presents a fictional perspective set on June 30, 2028, looking back at how AI decimated the global services economy, especially the Indian IT industry, which relies on cheaper software solutions for customers in advanced economies such as the US. Citrini argues that India’s services model was built on providing developers at a fraction of Western wages. However, with the advent of “agentic AI,” the marginal cost of a coding agent has collapsed to the cost of electricity, potentially rendering Indian developers obsolete. Also Read: God’s Own Country to officially become 'Keralam': Union Cabinet approves decision to rename Kerala The report further introduces the idea of “Ghost GDP,” contemplating a scenario where corporate profits and productivity (GDP) soar on paper but are not passed on to humans as they are replaced by AI, leading to a halt in money circulation back into the consumer economy. It predicts that by 2027, the $200+ billion services surplus that anchors India’s economy could “evaporate,” causing the rupee to crash by 18% and forcing India into preliminary bailout talks with the IMF. It also sketches a “2028 reality” in which clients at prominent companies like Infosys and Wipro begin cancelling contracts to build software internally using artificial intelligence. The IT and Business Process Management (IT-BPM) sector accounts for approximately 7.5% to 8% of India’s total GDP and contributes over 25% of the country’s total export earnings. The sector employs nearly 5.8 to 5.95 million professionals and acts as a primary source of foreign exchange, bringing in an estimated $224 billion in revenue for FY25. In contrast to the Citrini report, analysts from JPMorgan and HSBC argue that even if AI can write perfect code, human experts will still be needed to “plumb” it into massive corporate systems without breaking them. NASSCOM recently underlined that upgrading global legacy code (like COBOL) is a $1.6 trillion opportunity, and AI does not kill that work; it simply makes it faster, allowing Indian firms to handle larger volumes of projects. India has also begun preparing for potential strain on the outsourcing industry through Global Capability Centres (GCCs), over 50% of which are now located in the country, further strengthening its position as a global R&D hub.

Citrini argues that India’s services model was built on providing developers at a fraction of Western wages. However, with the advent of “agentic AI,” the marginal cost of a coding agent has collapsed to the cost of electricity, potentially rendering Indian developers obsolete.

Is Indian IT sector going to die? Viral Citrini report warns of 2028 ‘collapse’ as AI replaces labour arbitrage

Current policies by the Trump administration—such as the H-1B visa fee hike and new trade tariffs—are being seen in some quarters as attempts to undermine sectors critical to India's economy, particularly information technology. These moves evoke memories of how another Republican administration tried to stall India's technological progress in the late 1980s. That attempt came not through open confrontation but a quiet act of denial: the refusal to sell India a high-performance supercomputer. What was seen then as a betrayal by a trusted partner ended up becoming one of the most important catalysts in India’s journey towards technological self-reliance. This is the story of how a rejection led to a revolution.<h2>The supercomputer India wanted—and was denied</h2>In 1987, India sought to purchase the Cray X-MP/24 supercomputer from the United States. The stated goal was to use it for advanced meteorological modelling, including monsoon forecasting—critical for Indian agriculture. Accurate predictions could enable timely sowing and help safeguard food security. But despite growing Indo-US cooperation, the United States blocked the sale. Under the Export Administration Act and the COCOM regime, the US classified supercomputers as dual-use technologies, citing the risk that they could aid military or nuclear programmes.As a compromise, the US offered India the less powerful single-processor Cray X-MP/14, under strict conditions: it was to be used only for civilian purposes, with no technology transfer or re-export, and a US-appointed official was to monitor its usage. India reluctantly accepted the downgraded offer.The decision was viewed in India as an unjust and short-sighted restriction—especially since the stated use was purely scientific and non-military.Also read: <a href="https://www.wionews.com/world/h-1b-visa-fee-hike-to-100-000-a-knockout-punch-for-us-tech-sector-to-sue-adapt-lay-off-or-wait-it-out-is-the-question-1758785623726">H-1B visa fee hike to $100,000 a knockout punch for US tech sector? To sue, adapt, lay off, or wait it out is the question. What are their options?</a><h2>A denial that ignited innovation: How India built its own supercomputers</h2>Rather than accept technological dependence, India responded with ambition. In 1988, the government established the Centre for Development of Advanced Computing (C-DAC), with the goal of developing an indigenous supercomputer. By 1991, C-DAC launched PARAM 8000, India’s first domestically built supercomputer. Parallel efforts were also underway: the Bhabha Atomic Research Centre developed the ANUPAM series, while the Defence Research and Development Organisation (DRDO), through its Advanced Numerical Research and Analysis Group, built the PACE series.These supercomputers became foundational tools across sectors—weather modelling, seismic studies, defence simulation, nuclear research, and space technology. More than technical milestones, they symbolised a growing national confidence in homegrown innovation.Also read: <a href="https://www.wionews.com/photos/elon-musk-sundar-pichai-and-satya-nadella-how-h-1b-visa-holders-shaped-the-us-tech-revolution-1758531026454">Elon Musk, Sundar Pichai and Satya Nadella: How H-1B visa holders shaped the US tech revolution</a><h2>Supercomputers and India’s 1998 nuclear tests</h2>India's capabilities in computational modelling matured by the late 1990s. When India conducted its Pokhran-II nuclear tests in 1998, supercomputers like PARAM and ANUPAM played a supporting role in design simulations and data analysis. These simulations enhanced test precision and reduced the need for multiple detonations. Following the tests, as international sanctions—led by the United States, again—curtailed further physical testing, India's advanced computing infrastructure allowed it to continue improving its arsenal through virtual modelling.While it would be an overstatement to credit supercomputers alone for India’s nuclear capabilities, they significantly strengthened the country’s strategic preparedness and autonomy.Also read: <a href="https://www.wionews.com/world/bharat-os-bharat-tube-hindustani-flow-swadeshi-network-you-must-read-this-entrepreneur-s-post-amid-us-h-1b-visa-backstabbing-and-trump-tariffs-1758702845969">Bharat OS, Bharat Tube, Hindustani Flow, Swadeshi network: You MUST READ this entrepreneur's post amid US H-1B visa backstabbing and Trump tariffs</a><h2>Why the US denial of technology to India backfired</h2>The United States denied India access to the Cray X-MP/24 based on Cold War-era non-proliferation policies. But in this case, the denial failed to achieve its intended purpose. Instead of slowing India down, it spurred domestic innovation. Within a few years, India had matched—and in some respects surpassed—the computing power it had originally sought to import.This episode is now frequently cited by historians as a textbook case of how excessive technological controls can accelerate indigenous development. The long-term effect was a strengthening of India's scientific capacity, and a weakening of US influence over India’s technological choices.<h2>Laying the groundwork for India’s IT boom</h2>While the Cray episode did not directly cause India’s software boom, it formed part of a broader shift towards self-reliance in technology. Following economic liberalisation in the early 1990s, India rapidly developed into a global hub for software services and engineering talent.The early supercomputing efforts helped build technical expertise, inspired a generation of engineers, and established institutions that would go on to lead future technological initiatives.PARAM was more than a machine—it was a message that India would not be held back.<a href="https://www.wionews.com/videos/colossal-trump-visa-blunder-likely-to-boomerang-boost-tech-in-india-1758565334027/embed">https://www.wionews.com/videos/colossal-trump-visa-blunder-likely-to-boomerang-boost-tech-in-india-1758565334027/embed</a><h2>Echoes in 2025: Attempts at stifling India's IT sector&nbsp;</h2>Today, India again finds itself navigating an increasingly complex global tech landscape. Even as it collaborates with the US in fields like defence, space, and telecommunications, friction points remain—particularly around export controls, access to semiconductor technologies, and artificial intelligence systems.The parallels with 1987 are striking. Then, as now, the message from Washington is mixed. Yet history shows that India has consistently responded to such obstacles by doubling down on domestic innovation.<h2>From rejection to resurgence: Time for India to reopen the playbook</h2>The denial of the Cray supercomputer was a pivotal moment in India’s technological history. It exposed the vulnerabilities of dependence, but also revealed the strength of resolve.India’s supercomputing revolution should serve as a reminder: strategic capability cannot be outsourced. It must be built, protected, and owned. What was meant to be a roadblock turned out to be the launchpad. In an era where tech sovereignty is once again in the spotlight, the lessons from 1987 are more relevant now than ever.

The US denial of a supercomputer to India in the 1990s sparked a tech revolution, leading to PARAM 8000 and other supercomputers being developed domestically. India turned rejection and humiliation into a milestone for scientific and strategic rise. The cycle repeats

Current policies by the Trump administration—such as the H-1B visa fee hike and new trade tariffs—are being seen in some quarters as attempts to undermine sectors critical to India's economy, particularly information technology. These moves evoke memories of how another Republican administration tried to stall India's technological progress in the late 1980s. That attempt came not through open confrontation but a quiet act of denial: the refusal to sell India a high-performance supercomputer. What was seen then as a betrayal by a trusted partner ended up becoming one of the most important catalysts in India’s journey towards technological self-reliance. This is the story of how a rejection led to a revolution. The supercomputer India wanted—and was denied In 1987, India sought to purchase the Cray X-MP/24 supercomputer from the United States. The stated goal was to use it for advanced meteorological modelling, including monsoon forecasting—critical for Indian agriculture. Accurate predictions could enable timely sowing and help safeguard food security. But despite growing Indo-US cooperation, the United States blocked the sale. Under the Export Administration Act and the COCOM regime, the US classified supercomputers as dual-use technologies, citing the risk that they could aid military or nuclear programmes. As a compromise, the US offered India the less powerful single-processor Cray X-MP/14, under strict conditions: it was to be used only for civilian purposes, with no technology transfer or re-export, and a US-appointed official was to monitor its usage. India reluctantly accepted the downgraded offer. The decision was viewed in India as an unjust and short-sighted restriction—especially since the stated use was purely scientific and non-military. Also read: H-1B visa fee hike to $100,000 a knockout punch for US tech sector? To sue, adapt, lay off, or wait it out is the question. What are their options? A denial that ignited innovation: How India built its own supercomputers Rather than accept technological dependence, India responded with ambition. In 1988, the government established the Centre for Development of Advanced Computing (C-DAC), with the goal of developing an indigenous supercomputer. By 1991, C-DAC launched PARAM 8000, India’s first domestically built supercomputer. Parallel efforts were also underway: the Bhabha Atomic Research Centre developed the ANUPAM series, while the Defence Research and Development Organisation (DRDO), through its Advanced Numerical Research and Analysis Group, built the PACE series. These supercomputers became foundational tools across sectors—weather modelling, seismic studies, defence simulation, nuclear research, and space technology. More than technical milestones, they symbolised a growing national confidence in homegrown innovation. Also read: Elon Musk, Sundar Pichai and Satya Nadella: How H-1B visa holders shaped the US tech revolution Supercomputers and India’s 1998 nuclear tests India's capabilities in computational modelling matured by the late 1990s. When India conducted its Pokhran-II nuclear tests in 1998, supercomputers like PARAM and ANUPAM played a supporting role in design simulations and data analysis. These simulations enhanced test precision and reduced the need for multiple detonations. Following the tests, as international sanctions—led by the United States, again—curtailed further physical testing, India's advanced computing infrastructure allowed it to continue improving its arsenal through virtual modelling. While it would be an overstatement to credit supercomputers alone for India’s nuclear capabilities, they significantly strengthened the country’s strategic preparedness and autonomy. Also read: Bharat OS, Bharat Tube, Hindustani Flow, Swadeshi network: You MUST READ this entrepreneur's post amid US H-1B visa backstabbing and Trump tariffs Why the US denial of technology to India backfired The United States denied India access to the Cray X-MP/24 based on Cold War-era non-proliferation policies. But in this case, the denial failed to achieve its intended purpose. Instead of slowing India down, it spurred domestic innovation. Within a few years, India had matched—and in some respects surpassed—the computing power it had originally sought to import. This episode is now frequently cited by historians as a textbook case of how excessive technological controls can accelerate indigenous development. The long-term effect was a strengthening of India's scientific capacity, and a weakening of US influence over India’s technological choices. Laying the groundwork for India’s IT boom While the Cray episode did not directly cause India’s software boom, it formed part of a broader shift towards self-reliance in technology. Following economic liberalisation in the early 1990s, India rapidly developed into a global hub for software services and engineering talent. The early supercomputing efforts helped build technical expertise, inspired a generation of engineers, and established institutions that would go on to lead future technological initiatives. PARAM was more than a machine—it was a message that India would not be held back. https://www.wionews.com/videos/colossal-trump-visa-blunder-likely-to-boomerang-boost-tech-in-india-1758565334027/embed Echoes in 2025: Attempts at stifling India's IT sector Today, India again finds itself navigating an increasingly complex global tech landscape. Even as it collaborates with the US in fields like defence, space, and telecommunications, friction points remain—particularly around export controls, access to semiconductor technologies, and artificial intelligence systems. The parallels with 1987 are striking. Then, as now, the message from Washington is mixed. Yet history shows that India has consistently responded to such obstacles by doubling down on domestic innovation. From rejection to resurgence: Time for India to reopen the playbook The denial of the Cray supercomputer was a pivotal moment in India’s technological history. It exposed the vulnerabilities of dependence, but also revealed the strength of resolve. India’s supercomputing revolution should serve as a reminder: strategic capability cannot be outsourced. It must be built, protected, and owned. What was meant to be a roadblock turned out to be the launchpad. In an era where tech sovereignty is once again in the spotlight, the lessons from 1987 are more relevant now than ever.

The US denial of a supercomputer to India in the 1990s sparked a tech revolution, leading to PARAM 8000 and other supercomputers being developed domestically. India turned rejection and humiliation into a milestone for scientific and strategic rise. The cycle repeats

The Great American Betrayal: When the US denied India a supercomputer (and why that was a good thing)

Sometimes, it takes an insult to spark innovation. India and its tech workforce are at such an inflexion point, with the unjustified H-1B visa fee hike proposal and Trump tariffs meant to break the back of key sectors of the Indian economy. A US-based entrepreneur made a social media post that should make every policymaker in India sit up and take note. Balaji Vishwanathan's bold proposals are not yet in existence, but are uniquely innovative. What can be done by India, for India, to emerge as a global technology hub? Based on Vishwanathan’s post, here is an expanded vision document that includes what he calls BharatOS mandate, SSRI and swadeshi social networks.<h2>Can the Reserve Bank of India help the nation build tech sovereignty?</h2>The LinkedIn post said it’s time for the Indian tech sector to reinvent itself to utilise the returning expats “in a GI Joe kind of programme” as well as build its long-term tech sovereignty.It suggested that India’s central bank, the Reserve Bank of India, send ‘₹12 trillion surplus’ to build India’s full tech stack from the ground up. While this amount is not rooted in reality, the RBI does transfer a surplus, or “dividend,” to the central government. For instance, in FY 2023-24, the RBI approved a transfer of ₹2.1 trillion to the Union Government, and in FY 2024-25, a record surplus transfer of ₹2.69 trillion was approved. The post raises a key question: Can this surplus transfer of RBI be used to help India’s tech sovereignty?Also read:<a href="https://www.wionews.com/world/-afraid-of-our-talent-says-piyush-goyal-after-us-h-1b-visa-fee-hike-urges-indians-to-return-innovate-in-india-1758458036830"> ‘Afraid of our talent,’ says Piyush Goyal after US H-1B visa fee hike, urges Indians to return, innovate in India</a><h2>BharatOS: Can India ‘fork’ Android (AOSP) and make it the default for all devices sold in India?</h2>A key suggestion made in the post is the forking of AOSP, or the Android Open Source Project. AOSP is the publicly available and modifiable source code for the Android operating system, developed and maintained by Google. Developers and device manufacturers can customise the code — also known as forking — to create their own Android-based products, such as custom mobile devices.The post raises a crucial question: Can India develop an AOSP-based operating system for all devices, like TVs, phones and laptops?Vishwanathan wants such an OS to be made a public good like UPI — India’s ubiquitous digital payments architecture. He urged using the HarmonyOS playbook, referring to the proprietary operating system developed by Chinese tech giant Huawei from the ground up.Vishwanathan suggested that local device manufacturers using BharatOS should get subsidies, while those clinging to Android/iOS should pay heavy duties. “Let the iPhone 17 crowd pay luxury prices,” he added in the post.<a href="https://www.wionews.com/videos/trump-administration-s-new-h-1b-visa-process-lottery-system-to-be-scrapped-1758696631993/embed">https://www.wionews.com/videos/trump-administration-s-new-h-1b-visa-process-lottery-system-to-be-scrapped-1758696631993/embed</a><h2>A ₹100 billion fund for developers and a Desi code depository,to get away from Google Play Store and GitHub</h2>The post suggested an architecture backed by a ₹100 billion fund for developers, to help migrate out of the Google Play Store, with built-in UPI/Aadhaar integration. The post also mooted the idea of a Sovereign Source Repository of India, or SSRI, to replace dependency on the software development hosting platform GitHub.It calls for building a “massive Open Source foundation” that supports Indian languages and problems better, operating under Indian law with no DMCA takedowns or Western IP restrictions. (DMCA is the Digital Millennium Copyright Act, and IP stands for Intellectual Property.)The post suggested that government contracts should mandate SSRI usage, and that startups should get tax breaks for hosting critical code in SSRI.Also read: <a href="https://www.wionews.com/world/trump-administration-s-100-000-h-1-b-visa-fee-what-it-means-and-what-it-doesn-t-explained-1758415588544">Trump administration’s $100,000 H-1 B visa fee: What it means and what it doesn’t</a><h2>Hindustani Flow and Swadeshi Network: Time for ‘Desi’ Artificial Intelligence models&nbsp;</h2>The post also suggested what Vishwanathan called ‘Hindustani Flow.’ The idea is to make AI “Indian,” to address the content shortage in Indian languages.The Swadeshi Network, mentioned in the post, envisions social media, video, and streaming platforms that Vishwanathan termed ‘BharatConnect, BharatVideo, and BharatTube.’It also asked for a creator fund of ₹1.5 billion to make top influencers to migrate to Indian platforms.&nbsp;Also read: <a href="https://www.wionews.com/world/trump-proposes-to-scrap-h-1b-lottery-system-proposes-visa-process-favoring-better-paid-workers-1758651587890">Trump proposes to scrap H-1B lottery system, proposes visa process favouring better-paid workers</a>&nbsp;“Start it like AIR/Doordarshan kind of model with public-funded top-notch content [like we did in the 1980s–90s],” said the post. “Eventually, the private sector can take it and fly it.” &nbsp;AIR, or All India Radio, and Doordarshan are India’s public broadcasters for radio and TV.&nbsp;The post highlighted that India has the capital, labour that includes returning high-tech talent, and a market of 1.4 billion users.“Time to stop weak-minded responses and completely rebuild our tech foundation. This isn’t about fighting America — it’s about building an India that doesn’t need anyone’s permission to innovate,” it concluded.

In a social media post, an Indian entrepreneur proposed a bold vision for India's tech sovereignty, which includes BharatOS, SSRI, Desi Artificial Intelligence, and digital platforms. Could this be the blueprint for India to reduce dependency on foreign tech giants?



Sometimes, it takes an insult to spark innovation. India and its tech workforce are at such an inflexion point, with the unjustified H-1B visa fee hike proposal and Trump tariffs meant to break the back of key sectors of the Indian economy. A US-based entrepreneur made a social media post that should make every policymaker in India sit up and take note. Balaji Vishwanathan's bold proposals are not yet in existence, but are uniquely innovative. What can be done by India, for India, to emerge as a global technology hub? Based on Vishwanathan’s post, here is an expanded vision document that includes what he calls BharatOS mandate, SSRI and swadeshi social networks. Can the Reserve Bank of India help the nation build tech sovereignty? The LinkedIn post said it’s time for the Indian tech sector to reinvent itself to utilise the returning expats “in a GI Joe kind of programme” as well as build its long-term tech sovereignty. It suggested that India’s central bank, the Reserve Bank of India, send ‘₹12 trillion surplus’ to build India’s full tech stack from the ground up. While this amount is not rooted in reality, the RBI does transfer a surplus, or “dividend,” to the central government. For instance, in FY 2023-24, the RBI approved a transfer of ₹2.1 trillion to the Union Government, and in FY 2024-25, a record surplus transfer of ₹2.69 trillion was approved. The post raises a key question: Can this surplus transfer of RBI be used to help India’s tech sovereignty? Also read: ‘Afraid of our talent,’ says Piyush Goyal after US H-1B visa fee hike, urges Indians to return, innovate in India BharatOS: Can India ‘fork’ Android (AOSP) and make it the default for all devices sold in India? A key suggestion made in the post is the forking of AOSP, or the Android Open Source Project. AOSP is the publicly available and modifiable source code for the Android operating system, developed and maintained by Google. Developers and device manufacturers can customise the code — also known as forking — to create their own Android-based products, such as custom mobile devices. The post raises a crucial question: Can India develop an AOSP-based operating system for all devices, like TVs, phones and laptops? Vishwanathan wants such an OS to be made a public good like UPI — India’s ubiquitous digital payments architecture. He urged using the HarmonyOS playbook, referring to the proprietary operating system developed by Chinese tech giant Huawei from the ground up. Vishwanathan suggested that local device manufacturers using BharatOS should get subsidies, while those clinging to Android/iOS should pay heavy duties. “Let the iPhone 17 crowd pay luxury prices,” he added in the post. https://www.wionews.com/videos/trump-administration-s-new-h-1b-visa-process-lottery-system-to-be-scrapped-1758696631993/embed A ₹100 billion fund for developers and a Desi code depository,to get away from Google Play Store and GitHub The post suggested an architecture backed by a ₹100 billion fund for developers, to help migrate out of the Google Play Store, with built-in UPI/Aadhaar integration. The post also mooted the idea of a Sovereign Source Repository of India, or SSRI, to replace dependency on the software development hosting platform GitHub. It calls for building a “massive Open Source foundation” that supports Indian languages and problems better, operating under Indian law with no DMCA takedowns or Western IP restrictions. (DMCA is the Digital Millennium Copyright Act, and IP stands for Intellectual Property.) The post suggested that government contracts should mandate SSRI usage, and that startups should get tax breaks for hosting critical code in SSRI. Also read: Trump administration’s $100,000 H-1 B visa fee: What it means and what it doesn’t Hindustani Flow and Swadeshi Network: Time for ‘Desi’ Artificial Intelligence models The post also suggested what Vishwanathan called ‘Hindustani Flow.’ The idea is to make AI “Indian,” to address the content shortage in Indian languages. The Swadeshi Network, mentioned in the post, envisions social media, video, and streaming platforms that Vishwanathan termed ‘BharatConnect, BharatVideo, and BharatTube.’ It also asked for a creator fund of ₹1.5 billion to make top influencers to migrate to Indian platforms. Also read: Trump proposes to scrap H-1B lottery system, proposes visa process favouring better-paid workers “Start it like AIR/Doordarshan kind of model with public-funded top-notch content [like we did in the 1980s–90s],” said the post. “Eventually, the private sector can take it and fly it.” AIR, or All India Radio, and Doordarshan are India’s public broadcasters for radio and TV. The post highlighted that India has the capital, labour that includes returning high-tech talent, and a market of 1.4 billion users. “Time to stop weak-minded responses and completely rebuild our tech foundation. This isn’t about fighting America — it’s about building an India that doesn’t need anyone’s permission to innovate,” it concluded.

In a social media post, an Indian entrepreneur proposed a bold vision for India's tech sovereignty, which includes BharatOS, SSRI, Desi Artificial Intelligence, and digital platforms. Could this be the blueprint for India to reduce dependency on foreign tech giants?&nbsp;

Bharat OS, Bharat Tube, Hindustani Flow, Swadeshi network: You MUST READ this entrepreneur's post amid US H-1B visa backstabbing and Trump tariffs

Fears of a worldwide recession have prompted leading Indian IT companies to drastically reduce employee raises and promotions every year. The tech giant Infosys, headquartered in Bengaluru, has increased employee salaries by less than 10% this year.

Top IT giants may cut salary hikes by half as slump hurts the Indian IT sector

Major top tier Indian IT firm have announced steep cuts in yearly hikes and promotion for staffers. Move comes amid an unprecedented global slowdown in tech spending.

Indian IT Companies announce drastic pay cuts; slam the brakes on hiring

The information technology (IT) industry in India has come a long way from early beginnings to a $150-billion global leader. In this journey, many of us who have led companies in this industry have faced many hurdles in our key markets and have seen technology shifts that threatened our global delivery model. However, we have always come out stronger and given a strategic response that has benefited all our stakeholders at all times.

Today, there are three challenges facing the industry. The first is the inexorable shift to digital, leading to a completely different way global clients of the industry will deploy processes and technology to engage with customers and supply chain partners. The second is the hectic pace of automation, both by manufacturing and services clients as robots in the physical world and robotic process automation in the services arena consume jobs all over the world and also in the IT and business process management (BPM) industry itself, threatening jobs like infrastructure and applications support, applications development and testing, which become easy targets for automation. And last, but not the least, is the looming spectre of protectionism, with traditional markets like the US, Europe and even Africa looking out for local talent and creating barriers for free movement of professionals from India.

The hot topic of the day is US President Donald Trump's multiple pronouncements against the highly skilled visa programme and the issuance of H-1B visas, supported by top white house advisors and members of the US Congress and Senate. The moves stem from President Trump's "America First" agenda which welcomes and encourages investments in the US while denouncing any moves to shift work offshore or replace American jobs with visa holding professionals. It does not help that Indian nationals continue to account for the overwhelming majority of H-1B and L-1 visas issued (74 per cent in FY 2017).

With all the pressure on Indian firms, local employment is being increased and the number of visas sponsored by Indian firms continues to decline each year with Nasscom recording a 55 per cent decline in new H-1B petitions for initial employment from FY 2014 levels of 18,709 to 8,468 in FY2017.

The response of the Indian industry has always been in three dimensions. The first is the fact that India's IT sector is a "net creator" of jobs in the US, directly supporting over 4 lakh jobs in the US. In the last four years alone, American jobs supported by Indian companies grew by 10 per cent annually compared to annual US job growth of less than 2 per cent. The second is the help given to thousands of the US businesses to improve their operations, create new products and services and gain market share through superior global competitiveness. The participation of Indian H-1B and green card holders in cutting-edge research has made the US the dominant tech nation for decades, an edge that the US can ill afford to lose.

The third and possibly the most compelling argument is that the US Department of Labor estimates that there will be 2.4 million unfilled jobs in science, technology, engineering and mathematics (STEM) by 2018, with half of these in IT related roles, and while Indian companies have stepped in to fill the gap, the annual number of IT specialists from India working on temporary visas is about 0.009 per cent of the 158-million strong US workforce.

It would, of course, be unrealistic to expect any softening of the US stance for the immediate future. The industry needs to protect its revenues by embracing new models that are driven by IP creation, local hiring and more intense offshore capability building. With digital transformation becoming the need of the day for all clients, building multi-stakeholder platforms and re-skilling the existing workforce on all shores in artificial intelligence, machine learning, data sciences and user experience design will be the best way to protect and enhance both revenues and industry reputation globally. The industry will make it happen. 
&nbsp;

(This article was originally published on DNA. Read the <a href="https://www.dnaindia.com/business/report-h-1b-or-not-to-be-is-one-more-challenge-before-the-it-industry-2660094">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

The information technology (IT) industry in India has come a long way from early beginnings to a $150-billion global leader. In this journey, many of us who have led companies in this industry have faced many hurdles in our key markets and have seen technology shifts that threatened our global delivery model.

The information technology (IT) industry in India has come a long way from early beginnings to a $150-billion global leader. In this journey, many of us who have led companies in this industry have faced many hurdles in our key markets and have seen technology shifts that threatened our global delivery model. However, we have always come out stronger and given a strategic response that has benefited all our stakeholders at all times. Today, there are three challenges facing the industry. The first is the inexorable shift to digital, leading to a completely different way global clients of the industry will deploy processes and technology to engage with customers and supply chain partners. The second is the hectic pace of automation, both by manufacturing and services clients as robots in the physical world and robotic process automation in the services arena consume jobs all over the world and also in the IT and business process management (BPM) industry itself, threatening jobs like infrastructure and applications support, applications development and testing, which become easy targets for automation. And last, but not the least, is the looming spectre of protectionism, with traditional markets like the US, Europe and even Africa looking out for local talent and creating barriers for free movement of professionals from India. The hot topic of the day is US President Donald Trump's multiple pronouncements against the highly skilled visa programme and the issuance of H-1B visas, supported by top white house advisors and members of the US Congress and Senate. The moves stem from President Trump's "America First" agenda which welcomes and encourages investments in the US while denouncing any moves to shift work offshore or replace American jobs with visa holding professionals. It does not help that Indian nationals continue to account for the overwhelming majority of H-1B and L-1 visas issued (74 per cent in FY 2017). With all the pressure on Indian firms, local employment is being increased and the number of visas sponsored by Indian firms continues to decline each year with Nasscom recording a 55 per cent decline in new H-1B petitions for initial employment from FY 2014 levels of 18,709 to 8,468 in FY2017. The response of the Indian industry has always been in three dimensions. The first is the fact that India's IT sector is a "net creator" of jobs in the US, directly supporting over 4 lakh jobs in the US. In the last four years alone, American jobs supported by Indian companies grew by 10 per cent annually compared to annual US job growth of less than 2 per cent. The second is the help given to thousands of the US businesses to improve their operations, create new products and services and gain market share through superior global competitiveness. The participation of Indian H-1B and green card holders in cutting-edge research has made the US the dominant tech nation for decades, an edge that the US can ill afford to lose. The third and possibly the most compelling argument is that the US Department of Labor estimates that there will be 2.4 million unfilled jobs in science, technology, engineering and mathematics (STEM) by 2018, with half of these in IT related roles, and while Indian companies have stepped in to fill the gap, the annual number of IT specialists from India working on temporary visas is about 0.009 per cent of the 158-million strong US workforce. It would, of course, be unrealistic to expect any softening of the US stance for the immediate future. The industry needs to protect its revenues by embracing new models that are driven by IP creation, local hiring and more intense offshore capability building. With digital transformation becoming the need of the day for all clients, building multi-stakeholder platforms and re-skilling the existing workforce on all shores in artificial intelligence, machine learning, data sciences and user experience design will be the best way to protect and enhance both revenues and industry reputation globally. The industry will make it happen. (This article was originally published on DNA. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

Amid H-1B visa row, Indian IT industry faces many challenges

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Amid H-1B visa row, Indian IT industry faces many challenges