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AI Agents Reshape But Won't Replace SaaS Overnight, Say Tech CEOs

Industry leaders at the AI Impact Summit 2026 examined the impact of AI agents on traditional SaaS business models. They cautioned against oversimplification, arguing that while AI will reshape workflows, the core SaaS model based on solving customer problems remains vital. Executives from major IT firms highlighted that enterprise AI adoption requires significant groundwork in data and application modernization. The consensus is that AI will create a massive expansion in problem-solving capabilities rather than rendering existing models obsolete.

Key Points: AI Agents vs. SaaS: Industry Leaders on Future Business Models

  • AI agents reshape but won't obsolete SaaS overnight
  • Success hinges on solving real customer problems
  • Enterprise AI requires data and app groundwork
  • $300B services opportunity from AI integration
2 min read

AI agents will reshape SaaS business models but not render them obsolete overnight: Industry

Tech CEOs at AI Summit say AI agents will reshape SaaS but not make it obsolete. Success hinges on solving real customer problems.

"We don't envision a shrinking of the sector, but rather a massive explosion... - K. Krithivasan"

New Delhi, Feb 21

Leading industry leaders, during the 'AI Impact Summit 2026', examined whether AI agents are fundamentally disrupting the traditional software-as-a-service models, and cautioned against oversimplification.

Addressing speculation around the future of SaaS, Arundhati Bhattacharya, Chairperson and CEO of Salesforce India, said that markets will say a lot of things, and not all of it comes true.

"When you talk about the SaaS model, it's not only about vibe coding or creating an application, it's about understanding workflows, recognising customer pain points, and ensuring you address them. It's about observability, governance, auditability, and adoption," she said during a session here.

Bhattacharya emphasised that while ways of working will evolve, long-term sustainability will depend on delivering real customer value.

K. Krithivasan, CEO of Tata Consultancy Services, said that "We are entering an era where the role of the software engineer is shifting toward high-level architecture and rigorous validation."

While AI promises immense productivity gains, he stressed that enterprise adoption requires significant groundwork, from data rationalisation to application modernisation.

"We don't envision a shrinking of the sector, but rather a massive explosion in the volume of what can be produced and the complexity of the problems we can solve," he added.

Salil Parekh, Chief Executive Officer of Infosys, said that AI is creating a $300 billion services opportunity by making the 'impossible' economically viable.

Through Infosys' orchestration platforms, he noted, enterprises can integrate foundation models with specialised agents to unlock measurable business value.

According to C Vijayakumar, CEO and Managing Director of HCL Technologies, "Large language models and foundational models cannot yet be applied most efficiently to enterprise use cases", noting a persistent gap between foundational capabilities and enterprise-grade performance.

The leaders delivered a clear message that AI agents will reshape business and operating models, but they will not render them obsolete overnight.

Success in the AI era will hinge on agility, enterprise readiness, orchestration, and above all, the ability to continuously solve real customer problems in increasingly complex digital ecosystems, they noted.

- IANS

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Reader Comments

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Priya S
As someone working in a Bengaluru startup, this is very relevant. The point about "enterprise readiness" is key. We tried implementing an AI agent for customer support, but our data was all over the place! The foundation has to be strong first. TCS and Infosys CEOs are right - it's an evolution, not a sudden replacement.
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Vikram M
$300 billion opportunity? That's massive for India's IT sector. If our companies can lead in orchestration and integration, like Salil Parekh mentioned, it could mean huge job creation. But we need to skill up fast. The shift from coding to architecture and validation is real. Colleges need to update their curricula.
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Sarah B
While I appreciate the cautious optimism, I feel the article leans a bit too much on the "don't worry" side. The disruption might be slower than some predict, but it *is* fundamental. As a product manager, I see how AI agents are already changing how we think about software interfaces. The leaders could have spoken more about the pace of this change.
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Rohit P
Bhai, yeh toh humare liye achhi khabar hai. Mera chota sa business hai, main SaaS tools use karta hoon. Agar overnight sab obsolete ho jayega toh mera kaise chalega? Gradual change accha hai, adapt karne ka time milega. The focus on solving real problems is what matters for customers like us. 👍
K
Karthik V
C Vijayakumar from HCL hit the nail

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