Cognizant AI chief’s one-word take on Claude-triggered market wipeout

Cognizant's main AI officer, Babak Hodjat, has described concerns that artificial quality volition disrupt IT services companies arsenic “overblown.” This comes aft Anthropic’s Claude AI tools wiped retired much than a trillion dollars from the banal market.

Speaking to Reuters, Hodjat said enterprises inactive necessitate important enactment to deploy, integrate, and negociate AI systems, contempt advances successful automated tools from startups specified arsenic Anthropic.Hodjat noted that businesses are inactive acold from relying connected a single, all-purpose AI agent, adding, “That mapping is our job; it does not travel conscionable automatically retired of the box,” helium told Reuters. Hodjat, whose earlier enactment contributed to Apple’s Siri dependable assistant, said request for AI-led translation continues to enactment maturation for services firms.

Cognizant, which has much than 70% of its workforce successful India, has predicted yearly gross supra Wall Street estimates.Meanwhile, rivals specified arsenic TCS and Wipro person besides said AI adoption is expected to grow request for bundle services alternatively than trim it.

How AI has already impacted aggregate jobs already

Hodjat’s comments supporting the continued relation of services companies travel adjacent arsenic AI-related occupation reductions statesman to look crossed the industry. Shipping and logistics bundle steadfast WiseTech Global said it plans to laic disconnected astir one-third of its workforce arsenic it integrates AI into lawsuit bundle and interior operations.

TCS announced 12,000 occupation cuts past year, though the institution aboriginal said that the layoffs were not linked to AI.Cognizant, which presently generates astir 30% of its codification utilizing AI and aims to summation this to 50%, said it does not spot automation eliminating entry-level roles. CEO Ravi Kumar S said during the company’s net telephone earlier this period that Cognizant hired 25,000 caller graduates successful 2025 and expects to transcend that fig successful 2026.Hodjat besides told Reuters that astir each of Cognizant’s clients person experimented with AI agents but recognise that they inactive request enactment to deploy these systems efficaciously wrong their existing infrastructure to make returns