June 29, 2026, (Inside AI) — Former Infosys CEO Vishal Sikka launched a new AI startup, Hang Ten Systems, aiming to reshape the IT services industry. The venture raised a $32 million seed round led by Mayfield, with strategic backing from Aramco Ventures and angel investors including Yahoo co-founder Jerry Yang, who joins the board.
Hang Ten Systems helps enterprises build, modify, and operate software using AI. It already counts Siemens Gamesa Renewable Energy and Fresenius among its paying customers, just a month after founding.
The launch strikes at the heart of the $300 billion IT services sector. For decades, firms like Infosys earned billions from outsourced tech work—customizing, integrating, and maintaining enterprise software. Sikka now wagers that AI-driven development can handle much of that labor, potentially disrupting the very industry he once led.
“At Mayfield, we invest in people first, and Vishal is one of the rare leaders who can make enterprise AI actually work,” said Navin Chaddha, Managing Partner at Mayfield.
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“We backed Vishal from inception because he has done this before running products and technology at SAP and leading Infosys as CEO. Within a few years, the gap between enterprises that use AI to real advantage and those that don’t will define entire industries. Hang Ten is focused on enterprise transformations to put companies on the right side of that line.”
Sikka’s pedigree is undeniable. He spent 12 years at SAP building enterprise software, later served on Oracle’s board, and led Infosys as CEO until 2017. His previous AI startup, VianAI, focused on enterprise analytics. Hang Ten Systems takes a different path, centering on agentic code generation, reusable AI skills, and deep domain expertise to automate IT services.
The Agentic Shift in Enterprise IT
Hang Ten’s approach reflects a broader industry pivot toward agentic AI—systems that can independently plan and execute complex tasks. By combining code generation with domain-specific knowledge, the startup aims to slash the time and cost of software maintenance. This challenges the labor-intensive model that built India’s IT giants.
Yet the market is split. Analysts at Jefferies warn of early AI disruption in IT services. Infosys chairman Nandan Nilekani counters that AI could expand the market, framing AI-first services as a $300 to $400 billion opportunity by 2030. Despite that optimism, Infosys shares have fallen over 35% this year amid uncertainty.
Strategic Backing and Early Traction
The seed round’s strategic flavor stands out. Aramco Ventures’ investment signals interest from industrial giants seeking to modernize legacy systems. Jerry Yang’s board role adds Silicon Valley gravitas. With paying customers already onboard, Hang Ten Systems is moving fast to prove that AI can deliver enterprise-grade results.
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Sikka’s track record may give him an edge. He understands the pain points of both software vendors and IT services clients. If Hang Ten succeeds, it could accelerate a shift where AI does the heavy lifting of code generation and system upkeep, forcing incumbents to adapt or fade.
