Core Viewpoint - The comparison between Epam (EPAM) and Infosys (INFY) indicates that EPAM currently offers better value for investors based on its stronger earnings estimate revisions and more attractive valuation metrics [1][3][7]. Valuation Metrics - EPAM has a forward P/E ratio of 16.34, while INFY has a forward P/E of 21.69, suggesting that EPAM is more undervalued [5]. - The PEG ratio for EPAM is 2.00, compared to INFY's PEG ratio of 2.86, indicating that EPAM has a better expected EPS growth rate relative to its valuation [5]. - EPAM's P/B ratio stands at 2.78, significantly lower than INFY's P/B of 6.13, further supporting EPAM's valuation attractiveness [6]. Analyst Outlook - EPAM holds a Zacks Rank of 2 (Buy), reflecting a more favorable earnings estimate revision trend compared to Infosys, which has a Zacks Rank of 3 (Hold) [3][7]. - The stronger estimate revision activity for EPAM suggests a more positive analyst outlook, making it a more appealing option for value investors [3][7].

Core Insights - The article discusses how AI is transforming India's core competitiveness, particularly in the IT sector, which has historically relied on a labor arbitrage model [4][10]. Group 1: The Rise of India's IT Industry - India's IT industry has contributed up to 7% of GDP over the past 30 years, despite employing only 1% of the workforce, making it a key economic engine [7]. - The "Y2K" crisis in 1999 provided a unique opportunity for Indian IT companies to take on labor-intensive coding tasks at competitive prices, leading to significant growth [12][14]. - From 2000 to 2010, India's IT service exports surged from approximately $4 billion to nearly $50 billion, with the industry's GDP contribution rising from 1.2% to 6.1% [20][21]. Group 2: Impact of AI on the IT Sector - AI is threatening the traditional labor arbitrage model, with predictions that a $1 billion AI service company may only need 1,000 employees, compared to nearly 30,000 for a traditional IT company [9][23]. - Major Indian IT firms have collectively reduced their workforce by over 60,000 in the past year due to AI's impact, leading to a hiring freeze across the industry [9]. - The shift from a labor-intensive model to an "intelligent leverage" model is evident, where a few top AI engineers can achieve outputs previously requiring thousands of workers [24]. Group 3: Strategic Responses from Indian IT Giants - Indian IT giants like TCS, Infosys, and Wipro are pivoting towards AI-driven strategies, moving away from reliance on human labor to enhance productivity through AI tools [32]. - TCS has developed the ignio™ AIOps platform, which has reduced IT operational costs by 15% and automated 58% of incidents [33]. - The industry is also focusing on reskilling employees, with TCS training over 600,000 staff in AI skills, aiming to adapt to the new technological landscape [34]. Group 4: Challenges and Government Initiatives - The Indian government has launched the "IndiaAI Mission," planning to invest over ₹10.37 billion (approximately $1.2 billion) to build AI infrastructure and support startups [48]. - The initiative includes establishing a vast computing network with at least 38,000 GPUs to alleviate computational bottlenecks [49]. - However, challenges remain, including a lack of high-end GPU production, a talent gap at the top levels of AI expertise, and insufficient venture capital for foundational model research [42][43][45]. Group 5: Lessons for China - India's IT transformation offers strategic insights for China, emphasizing the need to build a robust foundation in core technologies rather than relying solely on application-level success [58]. - The article suggests redefining talent development to focus on AI literacy and interdisciplinary education to prepare a workforce capable of collaborating with AI [61]. - It also highlights the importance of creating a symbiotic ecosystem between large enterprises and innovative SMEs to foster growth and prevent monopolization of data and computational resources [64].

Core Insights - The Indian IT industry is facing significant challenges due to the impact of artificial intelligence (AI) and geopolitical tensions, highlighted by Tata Consultancy Services (TCS) announcing a major layoff plan of 12,000 positions by March 2026, which is about 2% of its workforce [2][14] - The rise of AI technologies, such as ChatGPT and Claude, threatens the traditional low-cost labor advantage that India has relied on for decades, leading to potential structural unemployment in the IT sector [14][15] - India's IT sector, while historically successful, has been criticized for lacking innovation and primarily serving as a low-cost service provider rather than a leader in technological advancements [8][12] Historical Context - India's IT industry has evolved over the past 30 years, transitioning from a service-oriented economy to a global leader in IT services, particularly after the Y2K crisis in the late 1990s [4][5] - The sector has experienced a compound annual growth rate of 14% in service exports from 1993 to 2022, making India the second-largest IT service exporter globally, with a 15% market share [5][6] Current Challenges - The Indian IT industry's reliance on low-cost labor has created a "resource curse," where the focus on human capital over innovation has left it vulnerable to AI advancements [6][12] - Despite a large pool of IT talent, India has not produced globally recognized software products or brands, limiting its role in the innovation landscape [8][9] - The lack of investment in research and development (R&D) is evident, with India's R&D spending at only 0.65% of GDP, compared to 2.68% in China and 3.3% in the U.S. [10][11] Impact of AI and Geopolitical Factors - The rapid advancement of AI is eroding the cost advantage that Indian IT firms have enjoyed, as AI tools can perform many tasks previously handled by human labor at a lower cost [14][16] - U.S. protectionist policies, including tariffs on Indian goods and proposed taxes on outsourcing, pose additional risks to the Indian IT sector, which heavily relies on the U.S. market for revenue [15][17] Future Strategies - In response to these challenges, the Indian government and industry leaders are initiating measures to pivot towards AI and innovation, including a national AI plan and increased investment in R&D [19][20] - Major IT firms are recognizing the need to transition from low-cost outsourcing to more value-added services, with companies like Infosys and Wipro planning to enhance their AI capabilities and employee training [20][21] - The establishment of Global Capability Centers (GCCs) by multinational companies in India may provide opportunities for skill enhancement and knowledge transfer, potentially helping to overcome the current low-end service lock-in [20]

Core Insights - Tata Consultancy Services (TCS) announced a significant layoff plan, cutting 12,000 jobs by March 2026, which represents about 2% of its workforce, highlighting the impact of AI on the Indian IT industry [1][11] - The emergence of open-source AI models like DeepSeek has raised questions about India's ability to innovate in the tech space, contrasting with breakthroughs in countries like China [1][6] - The Indian IT sector, historically reliant on low-cost labor, faces challenges from AI advancements and geopolitical tensions, necessitating a reevaluation of its business model [10][11] Group 1: Historical Context and Growth - India's IT services sector has grown significantly over the past 30 years, with service exports expanding at an average annual rate of 14% from 1993 to 2022, making India the second-largest IT service exporter globally, holding a 15% market share [4][5] - The sector's growth was fueled by the "Y2K crisis," which led to a surge in demand for outsourcing, allowing Indian programmers to establish a reputation for reliability and cost-effectiveness [4][5] - Government policies, including the establishment of software parks and export incentives, played a crucial role in the rapid expansion of the IT industry [4][5] Group 2: Current Challenges - Despite its success, the Indian IT industry has not produced globally recognized original software products, remaining primarily a service provider rather than an innovator [6][10] - The industry's reliance on low-cost labor has created a "resource curse," making it vulnerable to disruptions from AI technologies that can perform many tasks more efficiently [10][11] - The lack of a robust research and development ecosystem, with R&D spending at only 0.65% of GDP, highlights the challenges faced by Indian IT firms in fostering innovation [8][10] Group 3: Impact of AI and Geopolitical Factors - The rise of AI tools is eroding the cost advantage that Indian IT firms have traditionally enjoyed, leading to potential structural unemployment as demand for low-end jobs declines [11][12] - U.S. protectionist policies, including tariffs on Indian goods and proposed taxes on outsourcing, threaten the Indian IT sector, which heavily relies on the U.S. market for revenue [12][14] - The dual impact of AI advancements and geopolitical tensions could lead to significant job losses and economic instability in India, affecting millions of workers in the IT sector [14][15] Group 4: Response and Future Directions - In response to these challenges, the Indian government has initiated a national AI plan to boost local AI development and research capabilities [15][16] - Major IT companies are beginning to shift their focus from low-cost outsourcing to AI-driven solutions and high-value services, indicating a potential transformation in the industry [16][17] - The success of this transition will depend on addressing the skills gap and ensuring that the workforce can adapt to the demands of an AI-driven economy [16][17]

Core Insights - Infosys has launched an AI-first model to help enterprises transform their Global Capability Centres (GCCs) into hubs for AI innovation [1] - The AI-First GCC Model aims to integrate AI technologies throughout the lifecycle of GCCs, positioning them as strategic drivers for business operations and growth [1] Offering Details - The model provides a comprehensive framework for GCC setup, talent strategy development, and operational execution [2] - It includes a unified platform for scaling AI solutions and production-grade AI agents, utilizing tools like Infosys Agentic Foundry, EdgeVerve AI Next, and Infosys Topaz [2] Workforce Development - The offering integrates digital learning resources such as Infosys Springboard and utilizes the corporate university infrastructure to align workforce skills with enterprise needs [3] - Clients can choose from various operating models, including Build-Operate-Transfer (BOT), assisted builds, joint ventures, or partner-hosted options [3] Client Engagements - Infosys has previously engaged with over 100 local GCC entities across various industries [3] - Partnerships include collaborations with companies like Lufthansa Systems, zooplus, and Danske Bank [4] Case Studies - Danske Bank's COO highlighted that their collaboration with Infosys has made their GCC central to their strategy and AI-first vision, integrating AI into their software delivery lifecycle [5] - Lufthansa Systems' CEO noted that their partnership with Infosys has been crucial for their digital transformation, creating a future-ready innovation hub focused on enhancing aviation safety and operational efficiency [6]

Core Insights - Infosys has launched an AI-First Global Capability Center (GCC) Model aimed at transforming GCCs into AI-powered innovation hubs for enterprises [1][2][5]. Group 1: Offering Details - The AI-First GCC Model provides comprehensive support for setting up and transforming GCCs, addressing challenges in scaling and operational readiness [2][6]. - Key components of the offering include Infosys Agentic Foundry for AI agent development, EdgeVerve AI Next as a unified platform for enterprise-scale AI, and Infosys Topaz™ for integrating AI services across the GCC lifecycle [3][5]. Group 2: Client Engagements and Impact - Infosys has a proven track record with over 100 engagements, including partnerships with Lufthansa Systems, zooplus, and Danske Bank, focusing on establishing and managing GCCs [2][5]. - Lufthansa Systems highlighted the collaboration with Infosys as pivotal for their digital transformation, enhancing aviation safety and operational efficiency through AI [4]. - Danske Bank reported significant integration of AI into their software delivery lifecycle, showcasing the impact of Infosys' expertise in creating an AI-first banking environment [4]. Group 3: Strategic Capabilities - Infosys enables clients to transform GCCs into scalable innovation engines, emphasizing technology, talent, and operational models [4][7]. - The offering includes various operational models such as Build-Operate-Transfer (BOT) and joint ventures to suit enterprise needs [6][7]. - The Infosys Springboard digital learning platform is utilized to ensure a sustainable talent pipeline tailored to enterprise requirements [6].

Group 1: Market Reactions to Tariffs - President Trump's threat to impose a 155% tariff on Chinese imports led to a significant drop in the Dow Jones Industrial Average by nearly 900 points, with the S&P 500 and Nasdaq Composite also declining as traders anticipated increased trade tensions [2][3] - A previous increase in tariffs to 100% on Chinese goods resulted in the S&P 500 falling by 2.7%, the Dow dropping 878 points (1.9%), and the Nasdaq sliding 3.6%, erasing a month's worth of gains for major tech companies [3] - The announcement of a 10% universal tariff on April 2, 2025, caused global markets to plunge, highlighting the immediate impact of tariff announcements on market sentiment [3] Group 2: Trade Agreements and Market Sentiment - A recent US-China trade agreement reduced customs duties on fentanyl from 20% to 10%, lowering the overall tariff rate on Chinese imports from 41% to 31%, but the market reaction was muted, indicating that investors may have already priced in the changes [4] - The proposed $2,000 "tariff dividend" announced by President Trump led to a significant rebound in the cryptocurrency market, with Bitcoin surpassing $106,000 and Ethereum climbing past $3,600, showcasing a shift in investor focus towards digital assets [4] Group 3: Economic Implications and Criticism - Economists criticized the proposed "tariff dividend," with Nobel laureate Paul Krugman labeling it "deeply irresponsible" and estimating it could cost $600 billion, which is double the projected 2025 tariff revenue [5] - Treasury Secretary Scott Bessent suggested that the "dividend" might not be a direct payment but could manifest as tax cuts, raising questions about the feasibility and clarity of the proposal [5] Group 4: Global Trade Dynamics - President Trump's threats of a 50% import tariff on European Union goods led to immediate declines in European stock markets, with major indices like the Bel20, AEX, CAC40, and Dax all experiencing significant drops [6][7] - In contrast, the US and India are reportedly nearing a WTO-compliant trade deal, which aims to boost Indian exports and improve investor sentiment following a steep increase in import duties on Indian goods [8] Group 5: Impact on Indian IT Sector - Trump's hints at a more favorable stance on H-1B visas led to a rally in Indian IT stocks, with the Nifty IT Index surging over 2% and individual companies like Infosys and TCS experiencing notable gains [9] - The hiring ramp-up by Wall Street banks in India's Global Capability Centers reflects the contradictory nature of the policies, as they respond to earlier visa crackdowns while still seeking talent [9] Group 6: Market Performance and Volatility - On November 12, 2025, the Dow Jones Industrial Average closed above 48,000 for the first time, marking a 0.7% gain, while the S&P 500 and Nasdaq showed mixed results, indicating a divergence in market performance [10][11] - The overall market performance was influenced by optimism surrounding the end of a US government shutdown, leading to a rotation from tech stocks to more defensive sectors [11] - The market remains characterized by volatility, with Trump's pronouncements consistently injecting uncertainty and prompting varied reactions across different sectors [12]

Core Insights - Commvault announced the winners of the inaugural Commvault Fearless Awards 2025, recognizing partners who have demonstrated resilience against cyber threats and business disruptions [1][2][8] - The awards highlight a customer-first mindset and a unified, cloud-native approach to resilience among 24 standout partners globally [2][3] Award Winners - The Global Champion Award was awarded to HPE, with CDW, Softcat, and Logicalis Australia receiving regional champion awards for AMER, EMEA, and APAC respectively [6][12] - Other notable awards included Global AI Innovation Award to AWS, Global Cloud Partner of the Year to Microsoft, and Global Cyber Readiness Award to Bytes [7] Partner Statements - HPE emphasized the importance of comprehensive cyber resilience and data protection, reflecting a shared vision with Commvault [4] - Softcat highlighted the strength of their long-standing partnership with Commvault, focusing on innovation and customer-centric solutions [4] - Logicalis Australia expressed commitment to helping customers strengthen resilience and navigate complexity in the APAC region [4] Event Context - The awards were unveiled at SHIFT NYC, which also featured significant announcements including the Commvault Cloud Unity platform release [9][11] - The Commvault Fearless Awards aim to honor partners who show unwavering commitment to resilience amid evolving threats [8]

Core Insights - Infosys has developed an AI Agent aimed at transforming operations in the energy sector, leveraging its own technologies and Microsoft's AI and cloud capabilities to enhance operational efficiency and decision-making [1][3]. Group 1: AI Agent Features - The AI Agent processes various reports, including well logs and images, to streamline operations and provide predictive insights, which help in anticipating operational challenges [2]. - It enhances safety, reliability, and operational performance while reducing non-productive time (NPT) [2]. Group 2: Collaboration and Industry Impact - The partnership between Infosys and Microsoft combines domain expertise with advanced AI and cloud technologies, aiming to drive measurable business value in the energy sector [3]. - Infosys emphasizes the importance of transforming raw data into actionable insights through conversational AI, addressing the complexities of operational data management in the energy sector [3]. Group 3: Company Overview - Infosys is a global leader in digital services and consulting, with over 320,000 employees and operations in more than 59 countries, focusing on digital transformation powered by cloud and AI [4].

Core Insights - Infosys has launched Infosys Topaz Fabric, a comprehensive stack designed to unify and accelerate IT service delivery across enterprises, integrating AI capabilities while avoiding vendor lock-ins [1][6]. Group 1: Product Features - Infosys Topaz Fabric includes a layered, composable, open, and interoperable data infrastructure, models, agents, flows, and AI applications [1]. - The platform offers enterprise services such as IT operations, transformation services, quality engineering services, and cybersecurity services, along with over 50 purpose-built agents for IT operations [2]. - AI agents within Infosys Topaz Fabric operate with human oversight, executing workflows, automating tasks, and enhancing human capabilities [4]. Group 2: Collaboration and Impact - Infosys collaborates with enterprise business teams to contextualize Topaz Fabric to specific enterprise landscapes, ensuring high-quality IT services delivered with speed and accuracy [3]. - The platform is expected to enhance automation, resilience, and user experience in IT operations, as highlighted by Nu Skin's collaboration with Infosys [5]. Group 3: Strategic Vision - The Chief Delivery Officer of Infosys emphasized that Topaz Fabric combines AI's transformative power with human creativity to enhance service delivery and competitive advantage for clients [5]. - Infosys aims to accelerate value realization from enterprise AI transformation programs through partnerships with AI solution providers and startups [6].