TCS Splits AI Biz Unit for Growth: Focus on AI and Cloud

Mumbai, May 26 (PTI) The country's largest IT services company TCS has split its AI.Cloud business unit into two dedicated verticals, eyeing higher growth from untapped market potential, a senior official has said.

In what is being seen as a bet on artificial intelligence (AI) opportunity, the Tata Group company has formed a dedicated business unit focused on the area, while the second one will be dedicated to Cloud, senior officials have said.

The AI.Cloud business, formed about two years ago, has been delivering higher growth than the TCS average, but a need was felt to double down the focus.

Siva Ganesan, who is heading the newly created AI Data unit, said AI is getting more pervasive by the day and featuring in every conversation now, and added that it is only expected to get bigger and more intense as we go ahead.

"For us, the volume and the vibrancy of activity we are seeing in the AI and data space has grown manyfold in the last 12 months," he told PTI, declining to share details by numbers as the company does not break up AI revenue in reporting.

He said that this would be like a central unit, a repository of all AI things.

The company is hiring specialist AI talent from the market who are proficient and also focusing on training the existing talent within the organisation by revamping the training curriculum.

The company feels that there is significant growth potential and a wide untapped market for both, AI and Cloud, officials said, pointing out that this is the reason to have dedicated business units.

An official said that data is being made a part of the AI business unit because both are closely linked and explained that in many cases where the data landscape of organisations may not be ready to deal with AI, TCS can offer its services as a combined proposition.

Ganesan was the chief of the AI.Cloud unit earlier, while Krishna Mohan, the deputy head of the AI.Cloud will now head the cloud unit. Ashok Krish has been appointed as the global head of AI while Satish Byravan will be the global head of Data.

The company aspires to grow "exponentially" in the evolving field of AI and capture the rapidly changing market, due to which it is "inevitable" to run AI as a focused and more close-to-domain unit, an official said.