Tech Explained: Here’s a simplified explanation of the latest technology update around Tech Explained: Mphasis urges CTOs to rethink legacy core as HFS research highlights ontology as a foundation for trusted agentic AI in Simple Termsand what it means for users..
Mumbai, March 20, 2026- Mphasis, (BSE: 526299; NSE: MPHASIS), a global AI-led, platform-driven technology solutions provider, believes enterprise CTOs must rethink legacy core architectures as agentic AI adoption accelerates. This perspective is reinforced by HFS Research, which identifies ontology-based enterprise knowledge graphs as a critical foundation for safe and scalable AI. HFS Research notes that while agentic systems can accelerate execution, without an explicit semantic control layer, they risk propagating incorrect intent and scaling flaws embedded in legacy logic.
At the heart of the NeoIPTM platform is Mphasis OntosphereTM, an ontology-based intelligence layer within the broader Mphasis NeoIPTM suite that captures business rules, code paths, documentation, and operational artifacts into a structured, continuously updated knowledge graph. By defining what core enterprise concepts mean within a specific organisational context and how they interrelate, Ontosphere creates a persistent semantic layer that can govern and guide agentic systems safely.
Across financial services, insurance, and public sector organizations, modernization has typically been incremental. Many have adopted cloud infrastructure and digital interfaces while leaving core business logic largely unchanged. As agentic AI systems begin to ingest applications and automate decision flows, this embedded logic becomes mission-critical.
Mphasis cited measurable results from client engagements applying its ontology and knowledge graph framework. In a global insurance ITOps and observability programme, the client achieved:
- 67% accuracy in major incident prediction;
- 3-5 hours of early warning capability;
- A 50% reduction in mean time to detect, acknowledge, and resolve incidents.
“At Mphasis, we see AI as an architectural inflection point, not just a technology overlay. Enterprises are entering an AI era where the core can no longer be treated as untouchable. Layering intelligence on top of fragmented systems only scales complexity. The shift now is to make intelligence part of the architecture itself – and NeoIP is helping in doing so,” said Nitin Rakesh, Chief Executive Officer and Managing Director, Mphasis.
“Our research shows that ontologies and knowledge graphs are increasingly important for enterprises adopting agentic AI. Mphasis’ NeoIP platform reflects these principles, embedding semantic intelligence at the core of enterprise architecture to support continuous modernisation and safer AI deployment. The challenge isn’t the absence of intelligence, rather its fragmentation. Enterprises already have the intelligence embedded in code, workflows, and documents – but what they lack is a system of truth for intelligence. The task is to extract, structure, and make it reusable, so AI can drive transformation without repeating legacy mistakes,” said David Cushman, Executive Research Leader, HFS Research.
As agentic AI matures, enterprises will require far greater architectural discipline. Without embedded intelligence grounded in an enterprise context, AI remains merely artificial. The organizations that succeed will be those that can codify their own institutional meaning and leverage it to enable continuous, secure, and well-governed transformation.
NeoIP is designed to do so to reduce repeated relearning cycles that can consume significant portions of traditional or legacy transformation effort. HFS Research describes this approach as a centralised meaning layer that enables enterprises to build and control AI agents safely, while supporting continuous modernisation rather than episodic transformation.
About Mphasis
At Mphasis, engineering has been in our DNA since inception.
Mphasis is an AI-led, platform-driven company with human-in-the-loop intelligence, helping global enterprises modernize, infuse AI, and scale with agility. The Mphasis.ai unit and Mphasis AI-powered ‘Tribes’ are focused on client outcomes and embed artificial intelligence and autonomy into every layer of the enterprise technology and process stack. Mphasis built NeoIP, a breakthrough AI platform that orchestrates a powerful pack of AI solutions and platforms to deliver impactful outcomes across the enterprise IT value chain, as we believe ‘AI Without Intelligence Is ArtificialTM’. Mphasis NeoIP is powered by the Ontosphere, a dynamic and ever-evolving knowledge base, delivering continuous and constant innovation through perpetual intelligent engineering—driving end-to-end enterprise transformation.
At the heart of our approach is customer-centricity—reflected in our proprietary Front2Back transformation framework, which uses the exponential power of cloud and cognitive to deliver hyper-personalized digital experiences (C=X2C2TM=1) and build strong relationships with marquee clients. Our Service Transformation solutions enable enterprises to pivot from legacy systems and operations to secure, adaptive, cloud-first operating models with minimal disruption. Continuous investments in platforms, such as the Neo series, enable enterprises to stay efficient, relevant, and ahead in a dynamic AI-first world. Mphasis is a Hi-Tech, Hi-Touch, Hi-Trust company, rooted in a learning and growth culture. Click here to know more. (BSE: 526299; NSE: MPHASIS)