Dive Brief:
- India-based global systems integrator Infosys expects its workforce to remain broadly unaffected by the Trump administration’s crackdown on alleged abuses of employee immigration programs in the U.S., including the Permanent Labor Certification Program and specialty H-1B visas, Infosys CEO Salil Parekh said during an earnings call last week.
- On Oct. 8, the Department of Labor suspended Cognizant, Infosys, Tata Consultancy Services, HCL Technologies and Capgemini from the Permanent Labor Certification Program, citing multiple federal investigations of IT outsourcing.
- “We don't see any real impact on attrition from any of those activities,” Parekh told investors during the earnings call. “Neither do we see a cost impact because we already have within the U.S. a mix, where the majority of the people are local hires. And that's something that has been in motion for several years. So that's something that we feel good about — how we can bring in more people and how we can maintain delivery excellence with our clients with that sort of a team.”
Dive Insight:
In an Oct. 10 regulatory filing, Infosys acknowledged the DOL’s decision, emphasizing that it “does not anticipate yesterday's announcement of such suspension to have a material impact on the organization.”
The GSI reported $5.1 billion in revenue with 1.5% year-over-year growth in constant currency during Q2 FY27. Infosys also revised its FY27 revenue growth guidance to 1-2% in constant currency. The majority of revenue was concentrated in financial services, manufacturing and energy, utilities, resources and services, and AI made up 10.5% of revenue, according to the earnings report.
“As enterprises adopt AI at scale, another quarter of strong growth in AI revenues is a recognition of our differentiated market positioning and client confidence,” Parekh said during the earnings call. “As an ecosystem integrator, we continue to work closely with the frontier model companies, both open-weight and closed models.”
Infosys also won several large deals totaling $5.2 billion, including one deal worth over $2 billion, in the quarter ended Sept. 30, 2026, Parekh said.
Parekh added Infosys is focusing its AI strategy on legacy modernization, process AI and data AI, as well as its partner ecosystem of hyperscalers and enterprise software providers that is “really gaining momentum.”
During Infosys' annual conference held in early October in Geneva, analysts noted the GSI’s measured approach to AI hype.
“Salil Parekh opened the event with a remarkably down-to-earth message: Infosys is a delivery organization, its foundation is client trust and it intends to remain a stable partner in a world that is changing quickly,” Forrester VP, senior research director Frederic Giron and VP, principal analyst Ashutosh Sharma wrote in a blog post. “There was no grand talk of the autonomous enterprise being around the corner. In the current AI climate, we found that refreshing.”
