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IT Stocks: After witnessing some rebound in the previous session, Indian IT stocks including Infosys, TCS, Wipro, HCL Tech and others are back in the red on Wednesday, February 18 following weakness in US tech stocks in overnight deals. The Nifty IT index lost 1.5% in intra-day deals with all its constituents in the red.

The technology sector is facing renewed turbulence as AI-driven disruption intensifies, with growing fears that rapid advances in artificial intelligence could erode the relevance of traditional IT services and deal a significant blow to Indian IT companies.

"AI will render much of legacy software and testing redundant. Just like hyperscalers were initially a significant headwind to infra management services (IMS), and BPO got disrupted in the earlier cycle (2015)," said brokerage firm Motilal Oswal Financial Services in a report earlier this month.

Among individual stocks, Persistent Systems, Infosys, LTI Mindtree, Tech Mahindra and Coforge fell over 2% each while Mphasis, Wipro, L&T Tech, HCL Tech and TCS shed over 1% each.

Moreover, the index is down 21% in last 1 year and 17% in past 1 month.

more to come…

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