Accenture Scripts Indian IT’s Next Act
Accenture is raising the bar for generative AI, crafting a blueprint that’s reshaping Indian IT. With $1.2 billion in bookings and $500 million in revenue this quarter alone, the company has accumulated a staggering $4.2 billion in generative AI bookings and $1.4 billion in generative AI sales since September 2023.
In contrast, OpenAI’s revenue stands at $3.7 billion and growing.
“GenAI continues to be a catalyst for reinvention across the enterprise,” emphasised Accenture chief Julie Sweet, showcasing its critical role in driving efficiency and scalability.
Interestingly, Accenture has raised its FY25 revenue growth forecast from 3-6% to 4-7%, attributing part of this optimism to generative AI’s success.
“We do not currently see an improvement in overall spending by our clients, particularly on smaller deals,” noted Sweet, underscoring a strategic pivot toward large-scale, high-impact transformations.
Generative AI projects like the US Air Force’s cloud modernisation and PUMA India’s localised fulfilment models exemplify how Accenture is achieving measurable outcomes through innovation.
Recently, HCG partnered with Accenture to use generative AI and deep learning to improve cancer research, enabling earlier detection, better treatments, and more personalised care across South Asia.
This momentum resonates with Indian IT. Infosys is advancing small language models and multi-agent frameworks, aligning with the global demand for tailored solutions. With 600 AI engagements in production, TCS is focused on industry-specific applications.
Similarly, Wipro has secured $1.5 billion in large deals. Its chief, Srini Pallia, recently said, “There are three categories of AI projects we do: AI-led, AI-infused, and AI-powered solutions.”
HCLTech and LTIMindtree have also accelerated their AI efforts. While the former has partnered with Google and AWS to enhance its capabilities, LTIMindtree’s COO, Nachiket Deshpande, predicts that “every single dollar of revenue will have a generative AI component embedded in it”.
However, challenges persist in measuring generative AI’s ROI. Deshpande warned, “Counting AI revenue is not a measure we would like to go after because it misrepresents the impact of AI.” IBM’s recent report revealed that 60% of organisations in Asia-Pacific expect ROI within two to five years, highlighting the need for patience and strategic integration.
Accenture’s commitment to workforce development is setting a benchmark for the industry. With 14 million training hours dedicated to AI-related skills in Q1 FY25, the company averages 19 hours per employee. Indian IT firms, including TCS, Infosys, Wipro, and HCLTech, are similarly ramping up their focus on upskilling, ensuring readiness for AI-driven transformations. Mohandas Pai, former CFO of Infosys, remarked, “Companies that proactively upskill their workforce and embrace AI as a complement rather than a replacement will lead the transformation.”
Next year, Indian IT is poised to see an even greater revenue surge from generative AI—stay tuned to AIM for an in-depth look into this evolving story.
AIM Research: GenAI Service Provider 2024
Recently, AIM Research conducted a study to identify the top generative AI service providers of 2024, emphasising their transition from basic vendors to strategic partners, offering innovative solutions, tailored frameworks, and measurable value to drive AI adoption. (see below)
Check out the ‘Top Generative AI Service Providers 2024’ report from AIM Research here.
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