Indian IT giant Tata Consultancy Services (TCS) has appointed Amit Kapur as the head of its newly created AI and services transformation unit, according to an internal company memo seen by Reuters. His appointment will take effect in September, marking a strategic move by the company to strengthen its position in the rapidly evolving artificial intelligence space.
The decision comes at a time when Indian IT firms are aggressively pushing into AI to develop and deliver advanced solutions that can attract client spending. With global tech investments remaining subdued for several quarters, AI has emerged as a critical area of focus for outsourcing companies seeking growth.
In the memo, TCS highlighted that the company has significantly advanced its AI journey in recent years by enhancing its technological capabilities, reskilling employees, and expanding strategic partnerships. The creation of this specialized unit under Kapur’s leadership is aimed at accelerating these efforts and providing a sharper focus on integrating AI into service transformation.
The move also follows the company’s recent announcement of cutting 12,000 jobs, a step seen as part of the industry-wide shift towards automation and AI-driven solutions. This has raised concerns that India’s $283 billion outsourcing sector may face further workforce restructuring as artificial intelligence adoption intensifies.
While the company has not officially responded to requests for confirmation on Kapur’s appointment, the internal communication indicates TCS’s commitment to embedding AI deeper into its operations and offerings. The establishment of this unit underscores the strategic importance AI holds for the company’s future growth and competitiveness.
