The Nifty IT index fell over 3% on Tuesday, making it the worst-performing sector, as renewed concerns over artificial intelligence-led disruption dented investor sentiment.
Selling pressure intensified after recent AI-related claims by Anthropic, raising fears that advanced automation could impact traditional IT services demand. Heavyweights Tata Consultancy Services and Infosys were among the top losers, dragging the index lower.
Market participants remain cautious amid uncertainty over client spending and potential margin pressure, even as Indian IT companies continue to invest in AI-driven solutions.