Indian IT major Infosys has entered into a strategic partnership with Anthropic, sparking fresh debate across markets about whether artificial intelligence will disrupt traditional IT business models or unlock new growth opportunities.

The announcement triggered a strong positive reaction from investors. On February 17, Infosys shares jumped nearly 5 percent, closing at ₹1,430.95 on the Bombay Stock Exchange. This rally was particularly striking given that earlier this month, fears around generative AI had led to a sharp sell-off in global IT stocks.

On February 3, news surrounding an Anthropic AI model had rattled markets worldwide, pulling down IT stocks, including Infosys. During that phase, Infosys shares reportedly slid from around ₹1,700 to nearly ₹1,280, reflecting investor anxiety that AI could shrink deal sizes and reduce manpower requirements.

What Is the Infosys–Anthropic Deal About?

The partnership focuses on agentic AI—advanced AI systems capable of autonomously executing complex, multi-step tasks. These include activities such as insurance claims processing, automated code generation and testing, and compliance reviews.

By leveraging tools like Anthropic’s Cloud Agent SDK, Infosys plans to build AI agents that can handle long and complex enterprise workflows. Industry experts see this not as a replacement for traditional IT services, but as an enhancement—particularly in areas such as legacy system modernization, which has long been a key revenue driver for Indian IT companies.

Market Reaction and Investor Sentiment

The stock market’s positive response suggests that investors are beginning to view AI partnerships as an opportunity rather than a pure threat. Still, analysts caution that optimism will need to be backed by tangible results, such as deal wins, pricing power, and margin sustainability.

Salil Parekh’s AI Vision

Infosys CEO Salil Parekh has repeatedly emphasized AI as a massive long-term opportunity. He estimates that the global AI market could grow to $300–400 billion by 2030. According to Parekh, Infosys is building capabilities across six new service lines, including AI strategy, agentic legacy modernization, data readiness, and AI trust and governance.

He has described AI not just as a tool for efficiency, but as a force that is redefining how industries operate—and Infosys aims to place itself at the center of that transformation.

What Analysts Are Saying

Vinod Nair of Geojit Investments said the partnership is a positive signal and suggests that next-generation AI may not disrupt Indian IT companies as severely as once feared. However, he added that questions around deal sizes, pricing models, and long-term margin impact remain unanswered.

Sumit Pokharna of Kotak Securities called the move “a step in the right direction.” He noted that AI adoption in regulated industries cannot be experimental. Strong governance, transparency, and security frameworks are essential—areas where established IT firms like Infosys have a clear advantage.

AI’s Global Impact Still a Reality

The sharp sell-off in global tech stocks on February 3 and 4 demonstrated how quickly AI-related developments can influence markets. While that episode highlighted AI-driven uncertainty, the rebound in Infosys shares following the Anthropic deal suggests a shift in perception—from fear of disruption to belief in transformation.