MeitY Calls for AI Reskilling Push as IT Industry Transforms into AI Services Economy

Kochi: The Ministry of Electronics and Information Technology (MeitY) has called for a large-scale reskilling and upskilling drive to prepare India’s technology workforce for the artificial intelligence era, as the country’s IT services industry undergoes a rapid transformation driven by generative AI and automation technologies.

The call came during an industry consultation on “Supporting AI Transformation of IT Services Industry” convened by MeitY in Kochi and organised by the Software Technology Parks of India (STPI).

The consultation brought together senior government officials, industry leaders and technology experts to discuss the challenges and opportunities arising from AI adoption and the support required to help India’s IT services sector evolve into a globally competitive AI services industry.

Addressing the gathering, S. Krishnan, Secretary, MeitY, said India must view AI as an opportunity rather than a threat.

“The development and deployment of AI applications will require a large number of trained human resources. That is what India has to offer to the world. The focus must shift from concerns about job loss to investing in reskilling, upskilling, talent development and technological upgradation,” he said.

India’s IT industry currently contributes approximately $246 billion in annual exports and employs nearly six million professionals, making it one of the country’s largest and most globally integrated sectors.

Officials noted that generative AI is increasingly being deployed across IT and business process management operations to improve productivity, automate repetitive tasks and optimise costs. At the same time, client expectations are shifting from traditional process outsourcing towards end-to-end digital transformation solutions.

This transition is creating demand for new skills and specialised roles across sectors such as banking and financial services, healthcare, manufacturing and retail.

The consultation examined how IT services companies are adapting to AI-led changes in service delivery and customer expectations. Discussions also focused on investments in artificial intelligence, generative AI, agentic AI, automation, analytics and cloud technologies, along with the development of AI-powered products, digital co-pilots and intelligent automation platforms.

Participants highlighted the need for large-scale workforce development initiatives to ensure India’s IT and BPM sectors maintain their global competitiveness as AI adoption accelerates worldwide.

Another key area of discussion was the expansion of IT and BPM operations into emerging technology hubs beyond traditional metropolitan centres. Officials said this could create new employment opportunities while promoting balanced regional growth across the country.

The consultation also explored the role of government in supporting the sector’s transformation through policy frameworks, skilling initiatives and innovation-focused programmes.

The discussions align with the IndiaAI Mission, approved by the Union Cabinet in March 2024, and complement ongoing initiatives under the IndiaAI Application Development and IndiaAI FutureSkills programmes.

The meeting was attended by KK Singh, joint secretary, MeitY; senior officials from the Government of Kerala; Rajeshwar Singh Jenwar, director and head of the SIPD Division at MeitY; Arvind Kumar, director general, STPI; Ganesh Nayak, director, STPI Kochi; Vishwas Shrivastava, scientist E, MeitY; and representatives from leading IT companies.

Officials said the consultation forms part of MeitY’s continuing engagement with industry stakeholders to develop forward-looking policy support that will help India’s technology sector remain competitive in an increasingly AI-driven global economy.