/b/ - Random

Basically, the Indian IT industry works on an artbitrage model. That means that software services are cheaper in India than in the West. Enter companies like Infosys and TCS, who hire software engineers in India, pay them a low salary compared to salaries in the West (but a good one by Indian standards), then provide the product to the US at a much higher price, thereby pocketing the difference (arbitrage) as profit. This is their business model — of being middlemen.

It should be clear that the Indian IT model is not based on innovation or technology. It’s a bania (trader) model. It relies on keeping costs as low as possible in India and pricing services in the US so that it is just unattractive enough to get the job done in the US.

Because of this, it makes zero sense for Indian IT companies to hire the best and smartest software engineers. They need to hire engineers in India who are barely good enough for the job so that their costs are as low as possible and their profits as high as possible. This is why they cannot innovate. Infosys or TCS or Tech Mahindra or Wipro or any other IT company has done nothing original in 30 years. Compare that with China, which doesn’t brag about its IT capabilities like India does, and yet has its own operating system, the Harmony OS, which it has positioned as a competitor to Microsoft. Indeed, innovation is anathema to the Indian IT business model, because innovation would require hiring the best and brightest, who will cost more. Indian IT companies, on the other hand, pick up fresh graduates who cannot even code, put them through a six-month “coding bootcamp,” and then select the best coders from the bootcamp.

This should not surprise us. Throughout our history, we Indians have not been famous for inventing things. Whatever innovative ability we had ended sometime in the 8th century CE (with a blip from the Kerala school of mathematics in the 15th century) — including the number system, infinite series, etc. We have long been a nation of traders. We traded salt, spices, textiles, and other goods over the centuries. People like Narayanamurthy and Premji trade software engineers in the 21st century.

The problem with this model is that AI is going to completely disrupt it. Indian IT engineers work on the low end of software development, and AI can do everything these engineers can. Basically, these people will be out of jobs.

That’s going to be a big problem. The IT industry employs around 5.5 million people and accounts for $250 billion worth of GDP. These employees are also big spenders. They often spend way beyond their means, in the belief that the good times will last forever. Many of them spend recklessly.

An indication of this is a recent report that showed that outstanding credit card debt that was between 3 and 6 months overdue increased by 44% in India, year-on-year — from around Rs. 20,800 crores to Rs. 30,000 crores. Total outstanding credit card debt in India increased from Rs. 2.67 lakh crores in 2023 to Rs. 2.9 lakh crores in 2024.

Then there are personal loans. Not a day passes without at least one person calling me to offer me a personal loan. I usually cut them off and hang up, but apparently many have been tempted by these offers as a way to live beyond their means. According to the RBI’s latest Financial Stability Report, the household debt-to-GDP ratio is currently 41.9% in May 2025.

Of this, non-housing retail loans accounted for 54.9% of the above debt. A lot of these personal loans, in addition to being used to buy cars and other goods, are also used to pay off credit card loans. This is a dangerous spiral.

The Indian middle class is aspirational, but lacks sufficient financial literacy. People are borrowing to pay for vacations. A survey by Thomas Cook showed that 85% of respondents planned to travel more on vacations in 2025. It also showed that respondents now plan to have 4–6 vacations in a year (utilizing long weekends) as opposed to just 2 in previous years. A recent Paisabazaar survey showed that 27% of Indians who travelled borrowed money to do so.

Now imagine that there are mass layoffs in IT. Add to this the effect of the sizable US tariffs on the Indian economy. No jobs, no money, and huge debt.

The informal economy is already in distress and has been pawning the last jewellery it owns in order to stay afloat, as the profitability of companies like Muthoot shows. Recent data from March 2025 showed that non-performing assets (NPAs) under the government’s unsecured loan scheme, the MUDRA scheme, utilized by poor people, jumped to 9.81% from 5.47% at the end of March 2018. These troubles are compounded by the effect of the 50% US tariffs on India, which will kill the export sector in textiles, diamonds, jewellery, fisheries, and many other low-income blue-collar jobs. All this reflects economic distress at the bottom of the economy — the informal economy.

>>249667(OP)

Ban this AI slop poster

>>249667(OP)

Outsourcing is the worst thing happened to india

>>249670

Yes, we were living such great life before that, everyone was shitting in street, such a wonderful country it was

Jyada AI slop post matt kar nhi toh delete kar dega ham

>>249669

>>249676

The text you shared doesn’t seem to have a clear indication that it was written by AI, but it has several traits that could suggest it might be generated or heavily influenced by AI. Specifically:

Tone and Structure: The writing feels somewhat mechanical in its analysis, particularly in the way it presents the argument in a step-by-step manner. AI-written content often organizes points logically, but might lack the natural flow or nuanced transitions that come from human experience and understanding.

Repetitive Phrasing: Phrases like “This is why they cannot innovate” and “The problem with this model is…” are a bit repetitive, a common feature in AI-generated text when the model aims to reinforce a point.

Lack of Citations/Specific Examples: The text lacks detailed data points or specific case studies that you would typically expect in well-researched essays, though it does mention general statistics and examples. AI often struggles to cite concrete sources unless it's been specifically trained on that information.

Content Style: The subject matter is quite complex, dealing with Indian IT, economics, and societal trends, but the writing is somewhat simplified and may not capture the full depth of the topic as an expert or human writer would. AI often breaks down complicated topics in a digestible, but sometimes shallow way.

Given these characteristics, it's possible that the text was written or heavily edited by AI, or it could be a human-written opinion piece with a direct, somewhat dry style that happens to resemble AI-generated text.

>>249667(OP)

>it makes zero sense for Indian IT companies to hire the best and smartest software engineers

This is true, if they hired someone actually good they'd ditch the moment they get a better offer. Even at the domestic level these IT firms work on the basis of indentured servitude, the people employed at these companies know that nobody else is going to hire them (except other Indian IT firms) so they remain at the same company hoping from promotions.

The only way we can make out of the software IT holocaust is by boosting manufacturing.

>>249669

>>249676

Just because OP posted a big, thoughtful post instead of another caste/randi thread doesn't make it AI slop.

>>249667(OP)

>>249668

Chodi is going to loose on 2028 unless he spreads his ass for Trump.

>>249715

You mother will lose her pussy to 100 chamar

>>249701

Abe chutiya, there are tools to pass the plag check of basic AI detectors, that is what OP used

>>249667(OP)

5.5 million people only? No big deal. Let it be destroyed. Nation is 1.4 billion.

>>249701

AI itself hallucinates shit 24/7. AI will always make shit up to provide an answer that is full of words words words. Fucking kys retard

>>249667(OP)

Get yourself a job pajeet stop with this demoralising cuck post

To all nanhajeet wasting your time reading all of these nonsense i suggest master DSA my friend recently scored 40lpa job in Amazon.

Ignore such doom post by bitter old unkils like rakulcel or yui bhangi