Infosys share price surged around 6% in trade on Tuesday, September 15, even as a fresh debate over the pace and safety of frontier artificial intelligence development unfolded globally. The move came after Anthropic CEO Dario Amodei called for a slower pace of AI development, cITing growing safety risks. The head of the AI company also called for the development of AI models to be closely monitored.
Amodei’s comments have added to a broader discussion within the AI industry over how quickly the Technology should advance. OpenAI CEO Sam Altman and other major AI leaders have also backed a more cautious approach.
The debate has already affected global AI stocks. Nvidia fell 3.4% and SoftBank dropped 10.7% on Monday.
In an online essay, Amodei said the development of AI itself was not in question, but described the associated risks as “serious”. He argued that companies and governments need sufficient time to address those risks.
The CEOs of rival AI firms, Sam Altman of OpenAI and Elon Musk, have both said they agree with Amodei.
Infosys share price trend
Infosys is currently over 36% away from its 52-week high of ₹1,727.85, hit in February this year. Meanwhile, it touched its 52-week low of ₹984 in July 2026.
The stock has been under pressure in recent times. It has lost 7% in 1 month, over 4% in 3 months, 13% in 6 months and 28% in the last 1 year. Even in the long term, the IT stock has given weak returns, falling over 36% in 5 years.
IT stocks today
The broader Indian IT sector also witnessed strong gains. The NIFTY IT index jumped 5% to 30,390.70, with all 10 constituents trading in the green.
Among individual stocks other than Infosys, TCS traded 5.13% higher at ₹2,313.70. HCL Technologies shares gained around 6.5% to ₹1,283.70 apiece on the NSE, while Wipro rose 3.30% to ₹172.93. Tech Mahindra shares were trading 5.63% higher at ₹1,627.70 apiece on the NSE.
Indian IT stocks have emerged as some of the biggest casualties of the AI boom, with the sector down 21% year-to-date and 16% over the past year. However, expectations of a slower pace of AI development and spending could prove positive for traditional IT companies.
“Anthropic CEO Dario Amodei’s call to “pace the frontier”, backed by OpenAI CEO Sam Altman, has raised concerns around the pace of AI infrastructure buildout and driven a sell-off in direct AI-linked companies. In contrast, software stocks have shown relative strength, with Infosys and Wipro ADRs up 6% and 1%, respectively, while Cognizant, ServiceNow and Accenture gained 5–8%.
The divergence suggests investors are reassessing the risk-reward across tech, with a more measured pace of frontier-model development potentially reducing concerns around rapid obsolescence and disruption for traditional software,” said Kunal Bajaj, Analyst & Shreya Mehra, Associate – Technology at Choice Institutional Equities.
Outlook Ahead
Indian IT stocks have faced pressure from concerns over AI-led disruption, but a slower and more measured pace of AI development could offer some relief by giving enterprises greater clarity on technology choices and spending decisions.
“A more measured AI development cycle could provide enterprises greater visibility on technology choices, reducing near-term obsolescence concerns and encouraging customers that had adopted a wait-and-watch approach to resume AI and digital spending,” said Kunal Bajaj, Analyst, and Shreya Mehra, Associate – Technology, Choice Institutional Equities.
They said this could be incrementally positive for Indian IT, particularly in AI implementation, cloud transformation, governance and cybersecurity. They added that it could also extend the monetisation window for IT vendors, giving them more time to offset productivity-led pressure on legacy services. The structural risk of AI-driven productivity being passed on to clients remains, making the pace of AI-led revenue creation versus productivity-led deflation a key monitor.
The analysts also noted that the recovery in Indian IT ADRs comes ahead of the September 16 Fed decision, with markets pricing in around 90% odds of a 25bp hike. Fed guidance, US yields, inflation commentary and the evolving AI-spending debate are expected to remain key near-term drivers given Indian IT’s high North America exposure.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
