'GenAI expanding business opportunities for Infosys'

Chairman Nandan Nilekani reassures investors as entry of new AI tools weighs on tech stocks

- Varun Sood

Nandan Nilekani said GenAI is not an opportunity risk but an execution risk.

Infosys Ltd chairman Nandan Nilekani sought to reassure investors that the rise of generative AI (GenAI) is expanding business opportunities for the company, even as anxiety triggered by the launch of new AI tools has weighed on the stock, sending shares of the India's second-largest information technology (IT) services firm down 14% between 1 January and 17 February.

"My view is that there is no opportunity gap. Opportunity is bigger than before," Nilekani told analysts in his brief 20-minute talk on Tech transitions—Why is the AI transition different? as part of Infosys’s first analyst day event on Tuesday. “It is not an opportunity risk but an execution risk.” he also said that these are “tumultuous times”.

Nilekani’s sanguine outlook cheered shareholders. Infosys shares rose 4.5% in morning trade on Tuesday to ₹1,430 apiece, even as the Sensex remained largely unchanged at 83,516 points.

The firm also disclosed for the first time that its AI-related revenue was at $280.4 million, accounting for about 5.5% of its $5.1 billion revenue in the October-December quarter (Q3FY26).