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Zoho’s co-founder and chief scientist Sridhar Vambu urged the students and parents to reconsider taking large education loans due to artificial intelligence (AI) and automatic-inspired IT jobs. In a post on X, Wambu highlighted the case of an Indian student, who received a loan of Rs 70 lakh ($ 80,000) at a 12% interest from a low-term American college, with a very low job possibilities, especially for foreign students.

Vambu reported that Zoho has reduced recruitment and adopted a policy of retrenchment due to being favorable to the AI era, while IT giant companies like TCS had cut 12,000 jobs (2%of their work forms) in July 2025, and Microsoft had trimmed $ 15,000 employees in AI. These sorting, mainly back-office, software engineering and IT support roles, reflect a comprehensive industry change. India’s IT Association, NASSCOM described the region on a “transformative turn” and urged the skill upgradation in AI-operated skills.

“In India abroad or in India, heavy borrowings for degrees are uninterested,” Wambu warned, advocating employer-funded-funded training programs rather than traditional degrees. “We should not trap the youth in the name of education,” he outlined Zoho’s investment in skill development as a model for others to avoid financial crisis.

In adoption of AI, the speed has reduced the demand for traditional IT roles, in which TCS has described “skills mismatched” and automation as a major factor. The call for industry-operated training and alternative certificates by Vambu is aimed at creating education in accordance with market needs and ensuring permanent career paths.