ServiceNow, Inc.

🇺🇸New York Stock Exchange
Back to all articles
ServiceNow, Inc. stock analysis NOW overview
Somewhat Bullish +50

AI could create 2.73 million jobs in India by 2028: ServiceNow study

📈 A new ServiceNow study in collaboration with Pearson projects that AI could create an estimated 2.73 million jobs in India by 2028.

💼 The retail sector alone is expected to add 6.96 million roles, followed by manufacturing (1.50 million), education (0.84 million), and healthcare (0.80 million).

🔧 These projected job growth figures highlight a need for reskilling in fields such as software application development and data engineering.

⚖️ A contrarian view warns that India's demographic dividend could become a liability if sufficient opportunities do not emerge for the growing workforce.

🗣️ Investor Shankar Sharma argues that AI may outperform humans in service-based sectors, including IT, finance, legal services, and even executive roles like CEO.

🏭 Sharma predicts that long-term employment will likely be found only in traditional factory jobs, which do not align with the aspirations of India's youth.

🤝 Sumeet Mathur from ServiceNow asserts that AI will act as a key catalyst for creating high-value opportunities and digital careers across India's growth engines.

📊 The report details specific job additions, including 109,700 new positions for software application developers and 48,800 for systems software developers.

🤖 Systems administrators are projected to see the largest shift in productivity, with 6.9 hours of weekly tasks automated or augmented by emerging technologies.

🧠 AI systems engineers will experience significant impact from GenAI, with half of their total tech influence coming directly from AI technologies.

⚙️ Implementation consultants are expected to save 1.9 hours per week as AI takes over repetitive tasks, allowing focus on strategic projects.

Bullish Signals
  • ServiceNow study, in collaboration with Pearson, projects that AI could create an estimated 2.73 million jobs in India by 2028.
  • The retail sector alone is projected to add 6.96 million roles, presenting significant opportunities for reskilling in fields such as software application development and data engineering.
  • Tech-driven sectors including manufacturing (adding 1.50 million jobs), education (0.84 million jobs), and healthcare (0.80 million jobs) will see employment growth propelled by expected economic expansion.
  • ServiceNow senior vice president Sumeet Mathur stated that AI will be a key catalyst for job creation, particularly in roles requiring advanced technical skills like software application developers with an expected increase of 1,09,700 positions.
  • The report highlights substantial gains in productivity; systems administrators will see 6.9 hours of their weekly tasks automated or augmented by emerging technologies.
  • AI systems engineers and implementation consultants are poised to benefit significantly, with the latter saving 1.9 hours per week as AI takes over repetitive tasks, allowing focus on strategic projects.
  • Sumeet Mathur emphasized that this strategic emphasis will empower professionals to build enduring digital careers while creating more high-value opportunities.
Risk Factors
  • A contrarian view warns that India's demographic dividend may turn into a liability if sufficient job opportunities do not emerge for the growing workforce.
  • Investor Shankar Sharma cautions that 'nothing — nothing —' in service-oriented sectors like IT, finance, and legal services will be immune to AI replacing individual workers.
  • Shankar Sharma specifically notes that even CEOs may eventually be replaced by AI systems, creating significant displacement risks for top-level management.
  • The report highlights massive productivity gains, with systems administrators facing 6.9 hours of weekly tasks being automated, potentially reducing headcount in those roles despite overall job creation claims.
  • AI systems engineers and implementation consultants are expected to have a large portion of their work (half or specific hour reductions) taken over by AI technologies, raising concerns about role obsolescence.
  • The study assumes economic growth will propel job creation, but fails to account for scenarios where that growth stalls or accelerates automation faster than hiring.
  • The report is published by ServiceNow and Pearson, entities with direct stakes in the IT industry, which introduces potential conflict of interest concerns compared to independent analysts.
Full Analysis
A study conducted by ServiceNow in collaboration with Pearson projects that artificial intelligence will drive significant job creation in India, potentially adding an estimated 2.73 million jobs by 2028. This finding counters recent anxieties regarding AI causing widespread job losses, suggesting instead that the technology will act as a catalyst for employment growth across various sectors including retail, manufacturing, education, and healthcare. Retail alone is expected to add 6.96 million roles, followed by manufacturing with 1.50 million jobs, highlighting a need for reskilling in technical fields such as software application development, data engineering, and systems software development. Specific job additions are forecasted for several key roles, with software application developers expected to see an increase of 109,700 positions, followed by systems software developers and data engineers at 48,800 and 48,500 respectively. Other roles like web developers, data analysts, and software testers are also projected to see substantial growth with approximately 48,500 new positions for each category in the near future. The report emphasizes that these high-value opportunities require advanced technical skills, empowering professionals to build enduring digital careers while aligning with India's economic transformation. The article also presents a contrasting viewpoint from investor Shankar Sharma of AI company Gquant, who argues that much of the focus on India's demographic dividend is misguided and warns that services like IT and finance could be highly susceptible to automation by AI, potentially impacting roles such as CEOs. He suggests that traditional factory jobs may remain one of the few sectors offering long-term employment as aspirations of the youth diverge from industrial work. Despite these differing perspectives, industry leaders like Sumeet Mathur of ServiceNow India emphasize that AI will enhance productivity, with systems administrators expecting up to 6.9 hours of weekly tasks automated and implementation consultants saving 1.9 hours per week by focusing on strategic projects rather than repetitive duties. The broader implications involve the interplay between technological advancement and workforce development, where successful integration of GenAI is expected to contribute significantly to India's GDP while necessitating a robust framework for skill enhancement. The ServiceNow study positions tech-related jobs as growing across industries, suggesting that the economic strategy must pivot towards leveraging AI to create high-value roles rather than fearing job displacement. This narrative underscores the importance of education and training programs to prepare the Indian workforce for an AI-driven economy where human expertise combined with machine intelligence becomes increasingly critical for sustained economic growth.