The 2026 AI opportunity for India’s IT services sector

In 2026, artificial intelligence (AI) won't just be something companies talk about in press releases.

- SIDDHARTH PAI

It will become part of how everyday work gets done. Instead of being tested in small pilot projects or used in flashy demos, AI will be built into the core of how businesses operate. People are calling this shift ‘The Great Integration,’ and it’s already taking shape. It’s not about creating new Al models, but about using the ones we already have to make real work faster, smarter and more efficient. And for Indian IT service firms, this new phase could be a huge opportunity—if they can rise to the challenge.

There are three main types of AI that will become common in workplaces. Generative AI helps create content, such as writing emails, reports or code. Predictive Al looks at data to forecast things like sales trends, inventory needs or customer behaviour. Agentic AI is a newer kind that can take a goal, like scheduling a meeting or ordering supplies, and carry out the steps to make it happen without a human guiding every move. Each of these will start showing up in the software tools that employees use every day, helping them save time, reduce errors and make better decisions.

To make all this work, businesses will need to connect these AI tools with their existing systems. That’s where services come in. Setting up AI isn’t just about plugging in a chatbot. It involves linking Al to a company’s databases, making sure it understands business rules, keeping it secure and checking that it gives reliable results. This is complex, behind-the-scenes work—and it’s exactly what Indian IT services firms have been doing for years.