India’s IT services industry — worth ~US$283 billion — is seeing a major shift as generative AI chatbots and virtual agents replace conventional call-centre and back-office roles. Startups such as LimeChat claim automation coverage is rising from 70 % to over 90 %, and have already replaced ~5,000 jobs. While this improves cost-efficiency, it raises social questions: job security for India’s 1.65 million call-centre workforce, readiness of up-skilling programmes and regulatory frameworks. A 2024 EY survey found most Indian consumers still prefer human interaction, underscoring friction between automation gains and user expectations. Venture investor Vinod Khosla warns of a “chaotic overhaul” of IT services within five years.