CEO Ravi Kumar pointed out areas like cybersecurity and legacy modernisation where the company sees AI-driven demand
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Rajmohan S
IT major Cognizant expects AI to expand its addressable market more than fivefold, from about $1 trillion in traditional IT services and software to more than $5.5 trillion as enterprises deploy AI agents and digital labour across business operations.
Speaking at the company’s AI forum on Friday, CEO Ravi Kumar said that while enterprises have invested heavily in AI they have been unable to extract equivalent business value out of these investments.
“Companies have already spent a trillion dollars on AI infrastructure and are expected to spend $6-$7 trillion dollars in the next three to five years. Yet the business value generated from AI remains far below the technology’s capabilities, a gap that we are trying to address,” he said.
Emerging Demand
Kumar also pointed out areas like cybersecurity and legacy modernisation where the company sees AI-driven demand emerging.
During the event, Kumar also said that Cogninzat’s partnership with Workfabric AI, the context engineering company co-founded by IT veteran Narayana Murthy’s son Rohan Murthy will help the Cognizant utilise client data for actionable context creating opportunities as high as $1 billion.
Meanwhile, CFO Jatin Dalal suggested AI will fundamentally reshape Cognizant’s workforce structure, with fewer management layers, a flatter base of employees and AI agents, and introduction of new roles such as Frontier Engineers and Frontier Business Operators.
Published on June 5, 2026
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