As artificial intelligence (AI) pushes Indian IT companies and clients towards “outcome-based” contracts, the shift is making revenue less predictable for service providers and increasing their exposure to litigation, according to experts.
The growth of AI is sparking more discussions about outcome-led deals, as clients believe that business results can now be measured more accurately. On the other hand, IT service providers see it as a means to achieve client loyalty. For instance, in its latest conference call, Cognizant talked about outcome-based models 17 times.
