Microsoft has invested $25 bn to launch a frontier company to help businesses deploy AI. According to Ashan Willy, CEO of New Relic, AI is not reducing the need for software talent but is changing the nature of work, increasing demand for observability, and pushing engineering ownership towards India. Active tech job demand in India stood at 1,06,000 openings in July, up 14% from June after a 28-month low, though overall demand was 8% lower than a year earlier. Active tech demand from global capability centres (GCCs) reached 18,000 openings, accounting for 17% of India’s total tech hiring market, with GCC hiring growing 6% month-on-month and recording a 29% year-on-year increase. Willy notes that New Relic sees CTOs and observability leaders based in Indian GCCs making decisions for global operations, with new roles emerging around observability, AI governance, reliability engineering and product-led innovation. The rise of AI coding assistants has accelerated software development, but enterprises find that more code means more systems to track, more failures to investigate, and greater governance requirements.