Wipro Acquires Harman's Digital Transformation Solutions Business Unit

Wipro, a global IT services company, is acquiring Harman's Digital Transformation Solutions Business Unit. The deal aims to enhance Wipro's offerings in the IoT and cloud segments. Wipro's net sales are primarily driven by its IT services business, which accounts for 98.8% of its revenue, while hardware sales contribute 1.2%. The company's revenue is distributed across Asia, Americas, Europe, and other regions.

Wipro, a leading global IT services company, has entered into an agreement to acquire Harman's Digital Transformation Solutions (DTS) business unit. The acquisition, valued at approximately $500 million, aims to bolster Wipro's capabilities in the Internet of Things (IoT) and cloud segments. The deal is expected to close by December 31, 2025, subject to regulatory approvals.

The DTS unit, which supports sectors including healthcare, communications, industrial applications, and automotive, will be integrated into Wipro's Engineering Global Business Line. The acquisition will enhance Wipro's engineering and digital transformation capabilities, particularly in high-growth sectors like healthcare and industrial automation.

Wipro's acquisition strategy has been focused on expanding its portfolio through strategic acquisitions. Previous acquisitions include U.S.-based Aggne Global in the insurance tech sector and management consultancy Capco in 2021. The acquisition of Harman's DTS unit aligns with Wipro's objective to deepen its partnership with global technology leaders and strengthen its position in the market.

Warburg Pincus, a global private equity firm, is also involved in the transaction, signaling a strong appetite for technology-enabled services in India. Deutsche Bank is advising Harman on the transaction, with representatives from Wipro, Warburg Pincus, and Harman declining to comment by press time.

The acquisition will bring over 5,600 DTS employees, including key leadership, to Wipro, expanding its global workforce. Wipro expects the acquisition to accelerate its mission to deliver next-generation engineering research & development (ER&D) services. The integration of DTS's specialized engineering expertise with Wipro's AI-powered capabilities will significantly enhance the value delivered to clients.

Wipro's revenue is primarily driven by its IT services business, which accounts for 98.8% of its revenue, while hardware sales contribute 1.2%. The company's revenue is distributed across Asia, Americas, Europe, and other regions. The acquisition of Harman's DTS unit is expected to contribute to Wipro's growth in these segments.

References:
[1] https://news.outsourceaccelerator.com/wipro-warburg-deal-harman-india/
[2] https://www.morningstar.com/news/business-wire/20250821981081/wipro-acquires-harmans-digital-transformation-solutions-dts-business-unit-deepening-engineering-innovation-and-rd-excellence