OpenAI o3 Outperforms Human Experts on ARC-AGI; What It Means for India IT Industry

<p>OpenAI release of its o3 model, which scored 87.5% on the ARC-AGI benchmark that was previously considered a reliable test of human-level reasoning, has set off a fresh wave of alarm and introspection in India $250 billion IT industry. The model can solve complex programming, mathematics, and reasoning tasks that stumped earlier AI systems.</p><p>Industry body NASSCOM said it was "closely monitoring" the development and would release updated workforce reskilling guidelines by January. Several large IT firms including TCS, Infosys, and Wipro have already begun running internal audits of which job categories are most exposed to automation over a 3-5 year horizon.</p><p>The consensus among Indian technology leaders is cautious but not panicked. "India IT competitive advantage has never been just coding — it is problem-solving, client relationships, and domain expertise. Those remain distinctly human," said Salil Parekh, CEO of Infosys. Analysts, however, warn that entry-level software roles could shrink by 20-30% over the next four years.</p>