This is also expected to hasten the pace of new technology adoption in the Indian IT sector and will help it scale up its capabilities and put it in a better position to move up the ladder to a higher level of technical competence.
The last few quarters have witnessed a massive increase in demand for professionals having these skill sets. This has resulted in higher than usual levels of attrition and an increase in wage levels as companies struggle to retain their best talent in the face of aggressive offers from rivals.
Going forward, this could weigh on the margins of the Indian IT sector, analysts said. But that, they added, would be a small price to pay as the gains from the hastened pace of new technology adoption could cover the additional costs over the medium term.