The slowdown seen in the headline numbers being reportered by India’s information technology companies is not just a result of disruption due to artificial intelligence and the Trump tariffs but also inefficiency in products and services of the broader software industry, according to Zoho founder Sridhar Vembu.
“My operating thesis: what we are seeing is not just a cyclical downturn and it is not just AI related. Even without the uncertainty induced by tariffs, there was trouble ahead. The broader software industry has been quite inefficient, both in products and services,” the billionaire said in a post on social media platform X.
He observed that inefficiencies have accumulated over decades of a prolonged asset bubble and those were adapted in India.