New Delhi: The rapid rise of artificial intelligence is reshaping the global technology pecking order, with Claude chatbot developer Anthropic now valued at around ₹31.5 lakh crore, exceeding the combined market capitalisation of India’s entire Nifty IT index. The development has triggered fresh concerns among investors about the sustainability of the traditional IT services model, leading to sharp selling in frontline Indian IT stocks.
Over the past few trading sessions, persistent investor selloff has erased nearly ₹2.5 lakh crore in market value from India’s top software companies. The combined market capitalisation of the top 10 IT firms now stands at about ₹24.5 lakh crore, significantly below the record ₹39.5 lakh crore seen in January 2022.
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Blue-chip IT stocks under pressure
Sector heavyweights witnessed notable declines through the week. TCS shares fell 9–11 percent, with its market value dropping from a peak of about ₹16.5 lakh crore to roughly ₹8.9 lakh crore. Infosys slipped from its ₹9 lakh crore high to around ₹5 lakh crore, while HCL Tech’s valuation shrank to nearly ₹3.6 lakh crore.
Market participants say the correction is not solely due to weak demand but also reflects growing fears of AI-led automation. Advanced AI models—particularly coding, testing and agent-based tools—are increasingly capable of automating low-end IT services work, which could put pressure on billing hours and margins for outsourcing firms.
Anthropic’s rapid growth raises disruption concerns
Anthropic’s annualised run-rate revenue has reached approximately ₹1.15 lakh crore as of February 2026, with the company delivering more than tenfold growth each year for the past three years. Strong enterprise adoption of its Claude models and the rollout of coding-focused AI tools have significantly streamlined software development processes, intensifying competitive pressures on traditional outsourcing-driven IT firms.
The company counts Amazon, Microsoft and Nvidia among its key backers, along with sovereign investors such as Singapore’s GIC and the Qatar Investment Authority. The scale of funding and growth signals that enterprise AI has moved beyond experimentation into large-scale commercial deployment.
Double pressure on Indian IT
Indian IT companies were already grappling with weak global tech spending, client cost rationalisation and geopolitical uncertainties. The added threat of AI-driven automation has created a double headwind for the sector. Several global clients are shifting from conventional outsourcing to AI-enabled platforms, potentially impacting deal sizes and pricing models.
Opportunities amid disruption
Analysts maintain that the transition is not entirely negative. High-value services such as AI integration, cloud transformation, cybersecurity and digital consulting could open new growth avenues. Companies with strong enterprise relationships, domain expertise and a clear AI investment roadmap are better positioned to benefit from the shift.
According to market experts, the sector’s focus is expected to move from low-margin support services to high-value, AI-driven solutions in the coming years. Skill upgrades, hybrid delivery models combining automation with human expertise, and product-led offerings will define the next phase of growth for Indian IT. In the near term, volatility in IT stocks may persist amid AI-related uncertainty, but over the long run the technological shift is likely to drive a structural transformation of the industry.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
