Why IT Services Still Don’t Make The Cut? Ravi Dharamshi Flags Risks

Despite sharp corrections and improved valuations, the IT services sector may still not be ready for fresh investor attention. On Market Masters, Ravi Dharamshi, Founder & CIO of ValueQuest Investment Advisors, explains why he remains cautious on traditional IT services companies. He highlights slowing growth, the sector’s maturity, and the looming disruption from artificial intelligence. According to Dharamshi, many IT firms lack meaningful investments in proprietary platforms or IP-led products, making adaptation to AI challenging and time-consuming. While acquisitions may offer short-term relief, sustainable long-term growth will depend on innovation and ownership of intellectual property. His focus remains on technology companies building platforms and IP that can withstand AI-led structural shifts.