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Economic Times
11-07-2025
- Business
- Economic Times
TCS management on use-case based approach to AI; identifies 4 areas of focus
TCS navigates a cautious market as clients delay investment decisions amid economic uncertainty and await clarity on trade discussions. The company is strategically shifting towards use-case driven Gen-AI implementations, focusing on industry-specific solutions and upgrading its AI platform. TCS is also investing in talent development and forging key partnerships to drive growth. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads , CEO & MD, and, ED-President & COO,in conversation with ET Now. TCS is observing a shift from experimental Gen-AI projects to use-case driven implementations that deliver tangible business value. The company is investing in industry-specific and agentic AI solutions, upgrading its TCS WisdomNext platform, and forging strategic partnerships with hyperscalers and AI innovators. TCS is also prioritizing talent development to keep pace with the rapidly evolving technology landscape.: I was using the word uncertain a lot and people said you are saying uncertain so many times. I would say people are going to wait and watch more and I have a feeling maybe once these discussions are over, sometime in July and August, there will be greater clarity on the direction the trade discussions take and also the new bill will be in place. All that will provide more clarity. Maybe the first week of August onwards, we should see a more definitive direction in the is. If a particular project is going to yield definitive and immediate results, you find that customers are starting off those projects, which typically tend to be the cost optimization projects. If a project is for investment or transformation, where the return on investment is uncertain, the customers are willing to wait for greater clarity before they embark or commit those investments.: In the initial days of Gen-AI, everybody was in experimental mode, trying to understand what the technology is and what it can deliver. But after two-three years, now the power of the technology is well understood. So, what customers are looking at is how they shift from experimentation to a use case based approach to delivering projects which deliver a business value. That is the shift we are the new services revenues perspective – whether it is AI, cyber security, public cloud or TCS Interactive – many of these new service lines have grown well in this quarter and continue to have good demand. In terms of investing in these areas and especially talking about AI, we are looking at building industry specific solutions bespoke for a customer and we are also investing in building agentic AI solutions which are industry solutions that we can take to customers proactively where we can go and do this rapid build projects which can deliver short projects but can deliver value faster and that is one of the initiatives that we are second area we are looking at is our flagship product, TCS WisdomNext. We have just upgraded it with the version 2.0 which has agentic AI capabilities and we are using our product and a platform-based approach to really see how we can accelerate buildout of these third important element in any technology is partnerships. We are working with hyperscalers, model providers, and also new age partners like Vianai. We have just signed a partnership and we are seeing good uptake last part of the equation and the most important is talent. We are doubling down on building the talent in a phase where the technology is rapidly can look at it both from a vertical and horizontal perspective. Suppose you look at it from a vertical perspective, for instance manufacturing. Manufacturing auto as a segment that gets impacted because of the EV transition and confusion on where the investment is going to be because many of the auto manufacturers invested heavily in EV, but EV sales are still late to pick up globally, so there is a pullback on investments by in the BFSI sector, insurance has been impacted for multiple reasons, particularly catastrophic losses in the US and other places. Capital markets tend to thrive under volatility, more than others. This is a broad classification. The tech sector, by and large, is doing well or if you take telcos, despite the expected reduction in interest rates, capex is not happening.
Time of India
11-07-2025
- Business
- Time of India
TCS management on use-case based approach to AI; identifies 4 areas of focus
K Krithivasan , CEO & MD, and Aarthi Subramanian , ED-President & COO, TCS , in conversation with ET Now. TCS is observing a shift from experimental Gen-AI projects to use-case driven implementations that deliver tangible business value. The company is investing in industry-specific and agentic AI solutions, upgrading its TCS WisdomNext platform, and forging strategic partnerships with hyperscalers and AI innovators. TCS is also prioritizing talent development to keep pace with the rapidly evolving technology landscape. On India-US trade talks and likely impact on IT K Krithivasan : I was using the word uncertain a lot and people said you are saying uncertain so many times. I would say people are going to wait and watch more and I have a feeling maybe once these discussions are over, sometime in July and August, there will be greater clarity on the direction the trade discussions take and also the new bill will be in place. All that will provide more clarity. Maybe the first week of August onwards, we should see a more definitive direction in the market. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Is it legal? How to get Internet without paying a subscription? Techno Mag Learn More Undo How are the clients responding this time? From February till now we have been waiting for this and ambiguity, uncertainty are the words which have been coming in and this is a general sentiment across industries and clients. Is there any delay in decision making due to that? K Krithivasan: There is. If a particular project is going to yield definitive and immediate results, you find that customers are starting off those projects, which typically tend to be the cost optimization projects. If a project is for investment or transformation, where the return on investment is uncertain, the customers are willing to wait for greater clarity before they embark or commit those investments. In terms of uncertainty, there is sometimes opportunity as well. I was really impressed with the choice of words you made during the release of the use case based approach to ROI led scaling of AI. I want to understand, are there new areas which you are focusing on and what is this approach which you want to apply now? Aarthi Subramanian : In the initial days of Gen-AI, everybody was in experimental mode, trying to understand what the technology is and what it can deliver. But after two-three years, now the power of the technology is well understood. So, what customers are looking at is how they shift from experimentation to a use case based approach to delivering projects which deliver a business value. That is the shift we are seeing. From the new services revenues perspective – whether it is AI, cyber security, public cloud or TCS Interactive – many of these new service lines have grown well in this quarter and continue to have good demand. In terms of investing in these areas and especially talking about AI, we are looking at building industry specific solutions bespoke for a customer and we are also investing in building agentic AI solutions which are industry solutions that we can take to customers proactively where we can go and do this rapid build projects which can deliver short projects but can deliver value faster and that is one of the initiatives that we are driving. Live Events You Might Also Like: Infosys, Wipro and other IT stocks fall up to 3% after TCS Q1 earnings disappoint on revenue quality The second area we are looking at is our flagship product, TCS WisdomNext. We have just upgraded it with the version 2.0 which has agentic AI capabilities and we are using our product and a platform-based approach to really see how we can accelerate buildout of these solutions. The third important element in any technology is partnerships. We are working with hyperscalers, model providers, and also new age partners like Vianai. We have just signed a partnership and we are seeing good uptake there. The last part of the equation and the most important is talent. We are doubling down on building the talent in a phase where the technology is rapidly evolving. You have mentioned that there is some impact on demand. Which are these areas which you have identified? K Krithivasan: You can look at it both from a vertical and horizontal perspective. Suppose you look at it from a vertical perspective, for instance manufacturing. Manufacturing auto as a segment that gets impacted because of the EV transition and confusion on where the investment is going to be because many of the auto manufacturers invested heavily in EV, but EV sales are still late to pick up globally, so there is a pullback on investments by auto. You Might Also Like: TCS Q1 Results FY26: Cons PAT up 6% YoY at Rs 12,760 crore; Rs 11 per share dividend declared Similarly, in the BFSI sector, insurance has been impacted for multiple reasons, particularly catastrophic losses in the US and other places. Capital markets tend to thrive under volatility, more than others. This is a broad classification. The tech sector, by and large, is doing well or if you take telcos, despite the expected reduction in interest rates, capex is not happening. You Might Also Like: TCS shares tumble 2% after Q1 show fails to cheer D-Street. Should you buy, sell, or hold?
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Business Standard
27-05-2025
- Business
- Business Standard
Gen AI single most transformative force of 2024: TCS' N Chandrasekaran
Tata Sons and TCS Chairman N Chandrasekaran has singled out generative AI (Gen AI) as the most transformative force in 2024, achieving near-human reasoning capabilities and redefining analytics, customer experience, and marketing. 'Gen AI is not just another tech cycle, it is a civilisational shift. Its widespread adoption is accelerating, powered by parallel advances in semiconductors, cloud computing, quantum technologies, robotics, and energy innovation,' he wrote in a letter to shareholders as part of TCS' latest annual report. TCS is pursuing four strategic vectors to establish itself as a leader in this AI-first world. These include creating a large pool of AI agents to work alongside employees, delivering solutions through a human-plus-AI model, investing in AI data centres and cloud infrastructure, and forging industry-best partnerships with hardware providers, solution innovators, and start-ups. 'This integrated approach will help us bring the best capabilities to every customer, ensuring they are future-ready, resilient, and competitive. We remain steadfastly committed to leading the industry with purpose, innovation, and responsibility,' he added. Companies across the technology ecosystem and broader businesses are putting in place AI adoption strategies, refining their proprietary data to better harness results, and integrating AI and AI agents into their systems to improve efficiency and reduce costs. Chandrasekaran cautioned that, to lead in this new world defined by AI, the IT industry must evolve. Many traditional IT business services are now rapidly being automated, including coding and testing, which are reshaping the software development life cycle. Agentic AI is also being deeply embedded into enterprise systems. 'TCS is proactively leading this change. We have systematically infused AI across our offerings and built intelligent agent solutions throughout the value chain. In 2025, we will have the largest AI-trained workforce in the industry and have launched our enterprise-grade Gen AI platform: TCS WisdomNext,' he added. Earlier this week, TCS said it would split its business into two separate units to drive higher growth in its artificial intelligence cloud business. The company is actively hiring AI experts from the market while also enhancing internal capabilities by updating training programmes for existing employees.
