TCS exec: 100% of our revenue will have AI component by 2028-30

Tata Consultancy Services (TCS), one of the world’s largest IT services firms, has outlined an ambitious roadmap to integrate artificial intelligence (AI) across its business operations. According to K Krithivasan, Chief Executive Officer and Managing Director of TCS, the company aims to ensure that 100% of its revenue will have an AI component by 2028–2030. This strategic shift reflects TCS’s broader vision to become the world’s largest AI-led technology services company.

The company’s Q2 FY26 financial results underscore its progress in this direction. TCS reported $7,466 million in revenue for the quarter, with an operating margin of 25.2% and a net margin of 19.6%. The firm also disclosed $1.8 billion in annualized AI revenue, a significant increase from previous periods. This growth is attributed to the integration of AI across cloud, data, applications, and industry platforms, enabling TCS to convert transformation mandates into sustained revenue streams.

TCS has made several strategic investments to support its AI ambitions, including the establishment of a 1 GW capacity AI datacenter in India and the acquisition of ListEngage, a firm with deep capabilities in Salesforce. Additionally, the company has launched a new AI-driven operations center in Mexico City and expanded its AI infrastructure through partnerships with global firms such as Qualcomm and CEA.

The company’s AI initiatives are also reflected in its workforce development efforts. TCS recently hosted the world’s largest “Ideate and Build with AI” Hackathon, engaging 275,000 employees in AI-related innovation. These efforts are part of a broader strategy to build an AI-first culture and talent pipeline.

While TCS acknowledges that AI could reduce billable hours in certain areas, the company sees it as an opportunity to enhance operational efficiency and deliver greater value to clients. TCS’s leadership believes that the integration of AI will not only sustain but also accelerate the company’s growth in the coming years.