Infosys: Leading the Charge in AI Transformation

Embracing AI for Business Growth

Infosys, a leading global player in digital services and consulting, is intensifying its focus on artificial intelligence (AI) to drive growth and deliver tangible value to clients. Salil Parekh, the CEO and Managing Director, emphasizes the company’s commitment to harnessing technology and data management skills, stating, “We bring together a deep understanding of clients’ technology landscape, strong data engineering, and process reimagination capabilities to help them capture value at scale from AI.” This dedication to making AI work effectively for clients illustrates Infosys’s ambition to foster innovation and revenue growth.

Strategic Partnerships and Innovations

In his recent remarks during Infosys’ third fiscal quarter 2026 conference call, Parekh highlighted the company’s expanding partnerships with leading AI firms, such as Cognition, a San Francisco-based company known for its Devin software agent. Parekh stated, “We will combine Cognition’s Devin software agent with Infosys’ knowledge of the client landscape and industry expertise,” showcasing a collaborative approach that enhances service delivery.

The third quarter also saw the unveiling of Infosys’ Topaz AI capabilities, featuring an agent services suite known as Topaz Fabric. This suite is designed to facilitate AI management and implementation across enterprises, reinforcing the growing momentum in AI adoption among clients.

Notable Project Involvement

Infosys is currently involved in approximately 4,600 AI projects and boasts a remarkable record of generating over 28 million lines of code using AI. This level of engagement is indicative of a strong demand for AI-driven solutions among its client base, as noted by Parekh, who reported that 90 percent of its 200 largest clients are leveraging AI to derive business benefits.

The company’s strategic direction involves addressing common client challenges such as fragmented data and outdated application landscapes, paving the way for smoother AI integration and optimization.

Identifying Value Pools in AI

Parekh identified six key AI-led value pools that Infosys plans to exploit for enhanced market presence:

1. AI Engineering Services
2. Data for AI
3. Agents for Operations
4. AI Software Development and Legacy Modernization
5. AI and Physical Devices
6. AI Services

With a concentration on these areas, Infosys aims to position itself as the foremost AI value creator for global enterprises, anticipating significant opportunities for growth.

Impact of Large Deals on Growth

Large contractual agreements are pivotal to Infosys’s upward trajectory. The company recently secured 26 large deals worth a total of $4.8 billion during the quarter, affirming its stability and ambition for future expansion. Noteworthy among these is a $1.6 billion partnership with the U.K. National Health Service, which seeks to leverage AI for streamlining operations and enhancing patient care.

Fostering Products in the AI Landscape

When discussing the productization of their AI initiatives, Parekh outlined Infosys’ advancements in developing agents through the Topaz platform. He explained, “We are absolutely on the forefront of that,” indicating the company’s strategic focus on integrating multiple AI technologies to offer comprehensive solutions to clients. The Topaz Fabric represents a suite of purpose-built agents that harmonize multiple AI systems, catering to diverse operational needs.

In terms of product diversification, Infosys has ventured into creating small language models within its offerings, aimed at enriching client interactions with AI-enhanced tools designed for flexibility and efficiency.

Financial Performance Insights

During the third fiscal quarter of 2025, which closed on December 31, Infosys reported a revenue of $5.10 billion, reflecting a 1.7 percent increase compared to the previous year’s figures. The results exceeded analysts’ expectations by $70 million, showcasing the company’s robust financial health despite fluctuations in market conditions.

Future Outlook and Guidance

Looking ahead, Parekh has increased Infosys’s fiscal year 2026 guidance, projecting a revenue growth rate of 3.0 to 3.5 percent, up from an earlier forecast of 2.0 to 3.0 percent. This optimistic outlook reflects the company’s strategic investments in AI and its commitment to delivering value to clients while maintaining a stable operating margin target of 20 to 22 percent for the financial year.

By navigating the rapidly evolving AI landscape and establishing itself as a trusted partner for enterprises, Infosys is poised to redefine the standards of technology delivery and innovation in the coming years.