Tata Consultancy Services, India’s largest software services firm, plans to build a team of about 5,900 to 8,900 forward-deployed engineers and is weighing AI acquisitions amid concerns that AI could disrupt outsourcing.

CEO K Krithivasan said the team would make up 1% to 1.5% of TCS’s associates, based on its end-June headcount. He did not say whether TCS would hire externally or retrain existing staff.

These engineers would work with clients to speed AI adoption and tailor tools to business needs, using a model in which engineers embed with customers and adapt systems around real workflows.

CFO Samir Seksaria said TCS is evaluating acquisitions in AI, data security, and cybersecurity after largely avoiding deals for years and relying mainly on organic growth until late 2025.

He also said TCS spends about US$1 billion a year on talent development and making AI available internally.

Krithivasan said annualized AI revenue growth slowed to 13% in the first quarter from 28% in the previous quarter.

🔗 Source: Reuters