India’s Top IT Companies Set to Benefit as Customers Phase Out Legacy Applications
India’s leading IT companies are poised to reap the rewards as their biggest clients prepare to retire outdated legacy applications that are being maintained solely for the critical data they hold. According to a recent analysis by consultancy firm ISG, enterprises with extensive application portfolios have identified approximately one in ten applications as being in the “end of life” stage.
This shift in strategy presents a lucrative opportunity for India’s IT companies, which are well-positioned to assist in the transition process. With their expertise in application modernization and data migration, these companies can offer cost-effective solutions that align with their clients’ goals of streamlining operations and leveraging the full potential of emerging technologies.
One specific area of growth is expected to be the Asia Pacific region, where investments in generative AI still lag behind those in the United States. Infosys, a prominent Indian IT services firm, estimates that companies in the region will collectively invest around $3.4 billion over the next year. This presents a tangible market opportunity for Indian IT companies to capitalize on the increasing demand for AI-enabled applications and services.
The move away from legacy applications also signifies a broader trend toward digital transformation and the adoption of innovative technologies. As organizations prioritize efficiency and agility, there is a growing recognition that outdated applications hinder progress and limit their ability to compete in a rapidly evolving market. By retiring these legacy systems, enterprises can unlock new possibilities for growth and harness the power of modern technologies.
India’s IT companies, with their vast talent pool and comprehensive range of services, are well-equipped to support this transformation journey. Their extensive experience in software development, cloud computing, and cybersecurity positions them as trusted partners in facilitating this shift. Furthermore, their ability to provide cost-effective solutions makes them an attractive option for enterprises seeking to optimize their IT budgets.
In conclusion, the impending retirement of legacy applications presents a unique opportunity for India’s top IT companies to showcase their capabilities and drive growth. Through their expertise in modernization and migration, these companies can help their clients transition to new, cutting-edge technologies and gain a competitive edge in their respective industries. With the Asia Pacific region anticipated to witness significant investments in AI, India’s IT firms are primed to play a pivotal role in this transformative journey.
Analyst comment
Positive news.
As customers phase out legacy applications, India’s top IT companies are set to benefit. They are well-positioned to assist in the transition process through application modernization and data migration. The Asia Pacific region, in particular, presents a significant market opportunity for Indian IT companies to capitalize on the increasing demand for AI-enabled applications and services. This shift towards digital transformation and adoption of innovative technologies will unlock new possibilities for growth, and India’s IT firms are equipped to support this transformation journey with their talent pool and cost-effective solutions.
