IT, BPO services will disappear in five years, says tech billionaire Vinod Khosla

Tech billionaire and venture capitalist Vinod Khosla has warned that India’s traditional IT and BPO services industry could “almost completely disappear” within five years as artificial intelligence transforms white-collar work.

Speaking ahead of AI Summit 2026, Khosla said AI “workers” will rapidly outperform humans in most expertise-based professions, from accounting and law to medicine and sales, and predicted that almost all expert knowledge will eventually reside in AI systems. He argued that while this wave will destroy many existing jobs, it will also sharply lower the cost of services and create a huge opportunity for India to become the world’s leading exporter of AI-based products and services instead of conventional outsourcing.

Khosla called it a “huge danger” that policymakers and business leaders are still focused on old models of job creation, urging India to reorient education and industrial strategy toward building and applying AI at scale. He also backed India’s push for sovereign AI models, warning that allowing the United States and China to monopolise core AI technologies would be bad for the rest of the world.