AI-led Transformation Reshaping IT Services and Semiconductors

The IT services sector is transitioning from FTE-led delivery to a “Human + Token” model, with GenAI moving from pilots to enterprise-scale deployments. Revenue models are shifting toward outcome-based and fixed-fee structures, while traditional managed services face structural deflation.

Enterprises are funding AI through cost takeout and vendor consolidation, accelerating demand for data, cloud, and AI infrastructure. In parallel, semiconductor services are emerging as the fastest-growing segment, supported by rising chip complexity and AI compute demand.

Near-term outlook remains gradual and uneven, but structural growth in AI and ER&D continues to strengthen.

Highlights

• GenAI now at scale: Shift from experimentation to production-grade “Agentic AI” deployments driving large deal pipelines
• Delivery model disruption: Transition to Human + Token reducing linear headcount dependency and reshaping margins
• Pricing model evolution: Increasing shift from T&M to outcome-based / subscription models
• AI funding cycle underway: Enterprises cutting legacy IT spend to reinvest in AI + data platforms
• Semiconductors are emerging as a key growth pocket, with the market expected to approach ~USD 1 tn by 2030
• Semiconductor engineering outsourcing is growing at ~17% CAGR, driven by rising AI adoption, increasing ASIC demand, and a shortage of specialized talent