New Delhi, Feb. 24 -- India's technology sector is expected to grow 6.1% to $315 billion revenue in the ongoing fiscal year and remain around that level next fiscal, driven by artificial intelligence-led services as well as business at global capacity centres, an industry body said on Tuesday.

Nasscom raised last fiscal year's revenue for the sector to $297 billion from $283 billion earlier.

The prediction comes as IT and software services industry has been facing a double whammy of tepid demand and threat of disruption from advanced AI tools. A selloff in Indian IT stocks earlier this month wiped out about $44 billion in market capitalisation.

However, top Indian IT service providers such as Tata Consultancy Services, Infosys and HCLT...