Bengaluru, Sept. 24 -- Artificial intelligence (AI) is rewriting the rules for India's $283 billion IT industry, affecting not just new deals but also existing contracts.

Jatin Dalal, chief financial officer of Cognizant Technology Solutions Corp., is the latest to call out AI's impact on the sector. In a conversation with Nomura analysts on 16-17 September, Dalal said that AI is pushing clients to revisit their deals and demand greater AI-led savings.

"The CFO (Dalal) noted that historically the company has seen ~15-20% of contracts come up for renegotiations annually where ~15-20% has been the usual discounts/productivity benefits passed on to customers," said Nomura analysts Abhishek Bhandari and Karan Nain in a note dated 23 Septemb...