Tata Consultancy Services (TCS) has announced the creation of a new Artificial Intelligence (AI) and Services Transformation Unit, underscoring the growing importance of AI in its business strategy. The update was shared with employees via an internal communication, according to news reports.
Leadership Appointment
The new unit will be headed by Amit Kapur, who currently leads TCS’s UK and Ireland business. Effective September 1, 2025, he will take over as Chief AI and Services Transformation Officer. Kapur, a 26-year veteran at TCS, will report directly to Aarthi Subramanian, Executive Director, President, and COO of the company.
Organisational Structure
The unit will consolidate all of TCS’s existing AI teams and capabilities, including the AI and Data unit, which was previously carved out from the AI.Cloud business in Q4 FY25. The integrated structure will closely collaborate with TCS’s horizontal service lines and industry groups to deliver AI-led solutions across diverse client engagements.
Key Focus Areas
According to the internal note, the new unit will focus on:
- Modernising and updating existing service lines
- Developing domain-specific AI solutions
- Forging new strategic partnerships
- Creating AI-driven offerings in operations, engineering, and modernisation
TCS also plans to leverage its global innovation hubs, known as Pace Ports, to showcase and co-create AI solutions with clients.
Industry Context & Workforce Strategy
The move comes shortly after TCS reduced its workforce by nearly 2% (around 12,200 employees) in FY26, as part of efforts to make the organisation more agile amid technological shifts. With IT companies worldwide prioritising AI-led transformation, TCS has become one of the first major Indian IT firms to establish a dedicated AI and services transformation business unit, aligning itself with global peers such as Accenture, which have also strengthened their AI practices.
Summary
TCS has established a new AI and Services Transformation Unit, consolidating its AI capabilities under the leadership of Amit Kapur. The unit will focus on modernising services, expanding domain-specific AI offerings, and developing new client partnerships, with innovation driven through its global Pace Ports centres. The move reflects TCS’s commitment to AI-driven growth, coming at a time when IT firms worldwide are reshaping services around artificial intelligence and digital transformation.
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