Infosys's steepest monthly fall since 2013 wipes ₹1.3 lakh crore
Infosys shares dropped over 20% this February, closing at ₹1,308 and wiping out more than ₹1.3 lakh crore in market value.
This is Infosys's steepest monthly fall since 2013 and puts the stock a big 26% below its recent high.
Mutual funds lost nearly ₹42,000 crore on paper
If you're invested through mutual funds or just following tech trends, this is huge—mutual funds lost nearly ₹42,000 crore on paper, and big names like SBI and ICICI were hit.
Foreign investors also pulled out ₹11,000 crore early in the month.
AI tools automating key IT services
The main worry? AI tools like Anthropic's Claude Code are automating key IT services—think COBOL modernization for US ATMs—which could seriously disrupt India's $300-billion IT industry.
Investors are spooked because application-services revenue typically accounts for 40% to 70% of total revenue for these companies, and brokerages warn AI could eat into that revenue for Indian IT giants like Infosys.