ING Bank reports India's outsourcing sector is not being displaced by AI as it shifts up the value chain. While software services exports rose to 5.2% of GDP, business services doubled to 3.3%. AI is changing outsourcing content rather than reducing overall demand, with growth moving from repetitive tasks to high-value activities like data analysis and software development. India now holds over half the global outsourcing market, with combined services accounting for 8.5% of GDP and digital delivery exports growing 45% since 2022.