There’s a lot of noise right now about AI replacing the IT services industry. But if you actually look at what’s happening in the real world, the story is very different.
Take the recent partnership between Anthropic and Infosys as an example. Some people assumed AI companies like Anthropic would “destroy” traditional IT giants. But instead, they’re collaborating. That alone tells us something important: AI and IT services are not enemies, they are complementary.
Let’s break this down in simple terms.
AI Is the Engine, IT Companies Are the Car Designers
Think of AI models as powerful engines. They are incredibly capable, fast, and evolving rapidly. But an engine alone is not useful unless someone designs the car, integrates all the parts, and ensures it runs safely on real roads.
That’s where IT companies come in.
Enterprises don’t just want to plug in a chatbot or an AI agent and let it run through their sensitive data and intellectual property. They operate under strict requirements:
- Information security
- Data silos and governance
- Compliance and regulations
- Data quality and reliability
AI vendors build powerful tools, but enterprises need trusted partners to implement those tools securely and effectively. That role is played by system integrators and IT consulting firms.
Coding Is Only a Part of Software Development
A common misconception is that software development is mostly about writing code. In reality, coding is just one part of a much larger process.
Industry leaders have pointed out that only around 30% of software development is actual coding. The rest involves:
- System architecture
- Requirement gathering
- Stakeholder management
- Testing and validation
- Deployment and maintenance
- Change management within organizations
AI is definitely accelerating coding. But architecture design, business alignment, and enterprise integration still require experienced professionals. These are complex human-driven activities that AI alone cannot manage end-to-end.
Why AI Companies Partner with IT Consultants
Another key point: AI companies don’t have massive enterprise sales and implementation teams. They build world-class technology, but they rely on partners to take that technology into large organizations.
This is why AI firms are partnering with:
- Big Four consulting firms
- Global IT service companies
- System integrators
In simple terms, AI companies are saying:
“You know how to sell to enterprises and implement large-scale solutions. Take our product inside these companies and make it work.”
This makes sense. Enterprises don’t just buy software, they buy accountability. When a large project goes live, they want a partner who says, “Don’t worry, we’ll take responsibility.” That accountability is what IT companies provide.
The Future: Fewer Old Projects, More AI-Led Projects
Yes, the industry will change. Some traditional, repetitive projects will decline because AI will automate them. Certain roles may shrink or evolve.
But at the same time, entirely new categories of high-value projects are emerging:
- AI transformation programs
- Intelligent automation platforms
- AI-powered enterprise workflows
- Data modernization and governance solutions
These projects are complex, high-impact, and high-margin. And they require deep integration with existing enterprise systems — something IT service companies are uniquely positioned to handle.
System Integrators Are Still Essential
Whenever an enterprise runs a critical technology project, they need someone responsible for the outcome. They need a partner whose reputation and contracts are on the line if something goes wrong.
AI vendors provide APIs and models.
IT companies provide implementation, customization, and accountability.
This division of roles is exactly why partnerships between AI companies and IT service firms are increasing rather than decreasing.
