AI Slashes Modernization Costs 10x, Expands Tech Opportunity: Nasscom

• AI can reduce enterprise modernization project costs by 10 times, turning billion-dollar projects into $100 million endeavors.
• Despite cost reduction, AI significantly broadens the total addressable market for tech services, creating a $1.6 trillion opportunity in modernizing 800 billion lines of code globally.
• Nasscom leaders emphasize AI as a force-multiplier, not a threat, for the $283-billion IT industry, enabling previously unfeasible legacy modernization projects.
• The industry is shifting from implementation-led models to outcome-driven orchestration, with AI reshaping enterprise workflows and enabling real-time decision-making.
• Nasscom is focused on helping companies adopt an "AI-first" mindset, leveraging India's strengths in global capability centers and service delivery.