TLDR: Tata Consultancy Services (TCS) has announced the creation of a new AI and Services Transformation unit, appointing veteran Amit Kapur as its Global Chief. This strategic move, effective September 1, 2025, aims to consolidate the company’s AI capabilities, drive large-scale client benefit realization, and accelerate innovation in AI-powered services amidst a ‘civilizational shift’ driven by Generative AI.
In a significant strategic realignment, Tata Consultancy Services (TCS), India’s largest IT services firm, has officially announced the formation of a new AI and Services Transformation unit. This dedicated division will be globally spearheaded by Amit Kapur, a long-standing TCS executive, who will assume the role of Chief AI and Services Transformation Officer, effective September 1, 2025. Kapur will report directly to Aarthi Subramanian, Executive Director, President, and Chief Operating Officer at TCS.
The establishment of this unit underscores the escalating importance of Artificial Intelligence (AI) in TCS’s overarching strategy. According to an internal memo, the new unit is designed to integrate all existing AI teams and capabilities within the firm. It will work in close collaboration with horizontal service units and industry business groups to amplify TCS’s impact in the AI domain and facilitate large-scale benefit realization for its diverse client base.
Key objectives for the new unit include reinvigorating service propositions, deepening AI domain solutions, orchestrating new partnership ecosystems, and accelerating rapid innovation in the delivery of AI-powered integrated technology services across operations, engineering, and modernization. The company’s current AI and data unit will be absorbed into this new organizational structure.
N. Chandrasekaran, Chairman of Tata Consultancy Services, highlighted the transformative power of Generative AI (GenAI) in the company’s annual report for FY24-25. He stated that GenAI emerged as the single most transformative force in 2024, shaping a ‘civilizational shift’ across industries. Chandrasekaran emphasized that GenAI, with its near-human reasoning capabilities, is not merely another technology cycle but a profound societal change, reshaping analytics, customer experience, marketing, and manufacturing through autonomous systems and AI agents. He also noted its convergence with advancements in semiconductors, cloud computing, quantum technology, robotics, and energy innovation as critical catalysts for this shift.
Peter Bendor-Samuel, Founder and Executive Chairman of Everest Group, lauded TCS’s proactive measures, describing them as ‘very encouraging’ in an era where AI is significantly disrupting the tech services industry. He commented that TCS is taking concrete actions to ensure it remains at the forefront of this disruption and will aggressively deploy AI across its businesses.
Amit Kapur, who joined TCS as a graduate in 1999, has a distinguished career spanning over 26 years, holding various leadership positions across different geographies. Prior to this appointment, he served as the Head of UK and Ireland business. Vinay Singhvi has been appointed to succeed Kapur in this role.
This restructuring comes at a time when Indian IT companies are intensifying their efforts to adopt and offer more AI products to clients, seeking to stimulate tech spending that has been subdued for several quarters. The company also plans to reimagine its investments in global Pace Ports to bring real-world AI experiences closer to its customers.
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In a related development, TCS had previously announced plans to cut 12,000 jobs, signaling a potential trend of increased layoffs in India’s $283 billion outsourcing sector as AI integration deepens.
