Tata Consultancy Services (TCS), India’s largest IT services firm, has formed a dedicated Artificial Intelligence and Services Transformation unit, with Amit Kapur, a 20-year TCS veteran, named as its head. The unit is set to become operational from September, according to an internal company memo reviewed by Reuters.
The newly created division will consolidate TCS’ existing AI capabilities, aiming to strengthen solutions in the AI domain, drive innovation, and accelerate client-focused AI initiatives. Kapur previously led TCS’ UK and Ireland business and brings extensive experience in global IT operations.
The move comes shortly after TCS announced plans to cut 12,000 jobs, highlighting the growing role of AI in reshaping the Indian IT sector. With global economic uncertainties affecting client spending, IT companies are increasingly turning to AI-led offerings to maintain competitiveness and secure new projects.
“TCS has scaled its AI capabilities, reskilled its workforce, and deepened partnerships in recent years,” the memo noted, emphasizing the firm’s strategy to leverage AI as a key growth driver.
Industry experts say the formation of a dedicated AI unit underscores the urgency among Indian IT firms to embrace AI-driven transformation as a major growth lever, mirroring similar initiatives by global players like Accenture.
