Ex-Infosys chief Sikka raises $32m to upend IT services
Hang Ten Systems bets agentic code generation breaks the headcount-equals-revenue model
Summary
Vishal Sikka, the former Infosys CEO, launched Hang Ten Systems with a $32m seed round led by Mayfield, with Aramco Ventures investing and Yahoo co-founder Jerry Yang joining the board, TechCrunch reported. The firm uses agentic code generation and domain expertise to help enterprises build, modify and run software, what it calls AI-native project delivery. A month old, it already counts Siemens Gamesa and Fresenius as customers. Its pitch is that AI breaks the IT-services link between headcount and revenue, with leverage compounding per project rather than scaling with bodies.
Why it matters
The legacy IT-services model, Infosys, TCS, Accenture, sells labor by the hour. If agentic coding tools from Openai, Anthropic and others let small teams deliver what once took thousands, the industry's core economics break. A founder who ran one of its giants betting against it is a signal.
What to watch
- Whether Hang Ten's per-project leverage claim holds at scale.
- How incumbent IT-services firms reprice against AI-native rivals.
- Margin and headcount data from the first large enterprise deployments.