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Narayana Murthy Slams Tech Giants for Mislabeling Software as AI

Deepika Rana / Updated: Mar 16, 2025, 14:29 IST
Narayana Murthy Slams Tech Giants for Mislabeling Software as AI

Infosys co-founder Narayana Murthy has strongly criticized the growing trend of tech companies branding ordinary software as artificial intelligence (AI). In his latest statement, Murthy expressed concerns over misleading marketing strategies that exaggerate the capabilities of basic algorithms and automation tools, creating hype around AI without substantial technological advancements.

The AI Hype: A Misleading Narrative?

Speaking at a recent industry event, Murthy cautioned that many businesses are capitalizing on the AI trend by rebranding simple software automation as groundbreaking AI-driven technology. He emphasized the need for greater transparency and accountability in the tech industry, urging companies to differentiate between genuine AI innovations and routine software improvements.

"True AI should demonstrate learning, adaptability, and decision-making beyond predefined rules. Many so-called AI solutions today are merely software programs performing repetitive tasks," Murthy stated.

A Call for Responsible AI Development

Murthy’s remarks come at a time when AI has become a dominant force in global technology discussions. However, he warned against the potential consequences of overhyping AI, including:

  • Misleading Consumers and Businesses: Companies investing in AI solutions may not receive the advanced capabilities they expect.

  • Dilution of AI Standards: Overuse of the AI label could undermine genuine research and innovation.

  • Regulatory and Ethical Risks: Misrepresentation could lead to regulatory scrutiny and erode trust in emerging AI technologies.

Industry Reactions and the Need for Clarity

Murthy’s comments have sparked discussions across the tech industry. While some experts agree that AI branding has been misused for marketing purposes, others argue that automation and software improvements, even if not true AI, still contribute to digital transformation.

Leading AI researchers and technology executives have echoed Murthy’s concerns, calling for clearer definitions and industry standards to distinguish between machine learning, automation, and true artificial intelligence.

The Future of AI: Balancing Innovation and Integrity

As AI continues to shape the future of technology, Murthy’s critique serves as a reminder that responsible innovation is key to long-term progress. While AI has tremendous potential to transform industries, its credibility depends on how it is developed, marketed, and understood by businesses and consumers alike.

With global interest in AI at an all-time high, industry leaders may need to adopt stricter guidelines to ensure AI is used and labeled appropriately. Murthy’s call for clarity could prompt a much-needed shift towards more ethical AI development and transparency in the tech world.