TCS Establishes New AI and Services Transformation Unit, Led by Amit Kapur

Tata Consultancy Services (TCS) has created a new Artificial Intelligence (AI) and Services Transformation unit, highlighting AI's increasing role in the company's plans. The update was shared with employees through an internal email, as per news reports.

About the Leadership

As per the news reports, the unit will be led by Amit Kapur, who currently heads TCS’s UK and Ireland business. He will assume the role of Chief AI and Services Transformation Officer from September 1, 2025. Kapur has worked with TCS for over 26 years and will report to Aarthi Subramanian, Executive Director, President and Chief Operating Officer.

Structure of the Unit

The new organisation will combine all existing AI teams and capabilities within TCS. This also includes the AI and Data unit, which was separated earlier from the AI.Cloud business in Q4FY25. The combined team will coordinate with horizontal service lines and industry groups to support client projects.

Focus Areas

The internal note stated that the unit will look at:

• Updating existing service lines
• Expanding domain-specific AI solutions
• Forming new partnerships
• Developing AI-led offerings in operations, engineering, and modernisation

TCS also plans to use its Pace Ports, global innovation centres, to introduce AI solutions and demonstrations to clients.

Recent Workforce Reduction

The development follows TCS’s decision to reduce its workforce by about 2%, which is close to 12,200 employees, during FY26. The company had earlier said the cuts are part of plans to make the organisation more flexible in response to technology changes.

IT companies are increasing their focus on AI-led services as client demand shifts. TCS becomes one of the first Indian IT firms to create a unit focused only on AI and related services. Similar announcements have been made by global peers, including Accenture.

Read more: TCS to Give Salary Hikes to 80% of Employees Starting September 1!

Tata Consultancy Services Share Price Performance 

As of 09:35 AM on August 28, 2025, Tata Consultancy Services share price was trading at ₹3,114.30, a 1.96% decrease from the previous closing price.

Conclusion

TCS has consolidated its AI initiatives under one umbrella, appointed a senior leader, and outlined areas of focus. The new unit is a structural change in how the company organises its AI-related work.

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