By Nandini Sanyal

Copyright indiatimes

AgenciesTCS is reskilling its workforce for the next phase of technology, focusing on high-skill, high-intensity digital roles to stay ahead of global tech trends.

India’s largest IT services company, Tata Consultancy Services (TCS), is making a major pivot towards artificial intelligence (AI) and digital infrastructure, with plans to invest $5–6 billion over the next few years in building data centres and AI capabilities. The company aims to transform itself into the world’s largest AI-led technology services firm, said Samir Seksaria, Chief Financial Officer (CFO) of TCS.TCS is reskilling its workforce for the next phase of technology, focusing on high-skill, high-intensity digital roles and has already doubled its AI-skilled workforce to 1.6 lakh.Speaking to ET Now, Seksaria and Sudeep Kunnumal, Chief Human Resources Officer (CHRO), shared insights into the company’s AI transition strategy, investments, and workforce transformation plans.TCS to set up 1-Gigawatt AI data centre capacityAs part of its AI expansion, TCS plans to create one gigawatt (GW) of data centre capacity over the next few years — a significant move into digital infrastructure that will support AI training, cloud computing, and enterprise services.“We will begin with a 150-megawatt phase requiring an investment of around $1 billion, which will become operational in the next 14–18 months,” Seksaria said. “The capacity will gradually scale up to one gigawatt over time.”Live EventsYou Might Also Like:TCS to create 5,000 UK jobs in three years amid global layoffsThe total investment, estimated between $5 billion and $6 billion, will be structured through a combination of equity and debt, with potential participation from strategic equity partners.“It will start as a wholly owned subsidiary and, over time, we may bring in a strategic partner to scale the business,” Seksaria confirmed.The planned data centres will focus on AI and sovereign cloud infrastructure, serving both TCS’s enterprise clients and other hyperscalers.Five pillars of TCS’s AI transformationTCS’s transition toward an AI-led model is being guided by what the management calls the company’s “five transformation pillars.” These pillars will shape its investments, workforce strategy, and client engagement over the next few years:You Might Also Like:Released 1% or 6,000 people: TCS CHRO on layoffs; says numbers circulating very exaggeratedInternal transformation:TCS aims to embed AI into every internal function — from operations to decision-making — to enhance efficiency and productivity. Employees are being given access to AI tools and platforms to encourage innovation.Redefining services:The company has created a new AI Business Unit, focusing on talent acquisition, reskilling, and a “human + AI” service delivery model.Becoming future ready:You Might Also Like:TCS bets big on AI and data centres; every project will be AI-led, says CEO K KrithivasanTCS is reskilling its workforce for the next phase of technology, focusing on high-skill, high-intensity digital roles to stay ahead of global tech trends.AI for clients:TCS is working closely with clients through “AI Innovation Days” and short-cycle delivery models — 8-to-12-week AI projects that demonstrate tangible business outcomes before scaling.Ecosystem play and partnerships:Beyond its in-house efforts, TCS is deepening partnerships with niche AI players, hyperscalers, and enterprise tech companies. The company has already announced an acquisition in the Salesforce domain and is exploring further inorganic growth opportunities.Transforming into an AI-first technology companyTCS’s move to become an AI-first technology company is not an overnight shift, Seksaria emphasized.“This is a journey. We’ve been investing in AI, cloud, and data for years, but now we are accelerating to the next level,” he said. “There are short-term steps such as restructuring and talent readiness, and longer-term initiatives like ecosystem expansion.”He added that every client project will increasingly have AI integrated — whether for improving productivity, speeding up delivery, or enhancing end-user experience.AI workforce doubles to 1.6 lakh employeesThe company’s HR transformation is just as significant as its infrastructure and business model changes.According to CHRO Sudeep Kunnumal, TCS’s AI and machine learning (ML) talent base has more than doubled over the past year.“Our deep-tech talent pool in AI and ML was around 70,000 last year; today it stands at 160,000 employees,” Kunnumal said. “We’ve democratized access to AI infrastructure across offices so employees can experiment, learn, and build solutions.”TCS has been conducting large-scale AI learning initiatives, including hackathons and internal innovation challenges. “Every employee now has access to AI learning platforms. Learning hours have doubled over the past year,” Kunnumal added.18,500 new hires in Q2, Focus on future-ready skillsDespite restructuring in parts of its workforce, TCS continues to hire aggressively in future-facing areas.“We hired 18,500 people globally this quarter — that’s our gross hiring — across markets, focusing on future-ready digital and AI skills,” Kunnumal confirmed.The company has also reaffirmed its commitment to onboarding all campus recruits with prior offers.On reports about layoffs, Kunnumal clarified:“We are restructuring certain areas but have honoured all offers and are on track to onboard them. The narrative around layoffs is exaggerated.”Long-term vision: AI-enabled growth and new revenue mixTCS expects its AI-led transformation to not only redefine its internal processes but also reshape its revenue mix over time. The company envisions a model where AI-enabled projects form a significant share of future growth.“Every project we undertake will increasingly have an AI component — whether for automation, analytics, or transformation,” Seksaria said.The company’s aim is clear: to emerge as a global leader in AI-led digital services, blending deep technology expertise with a scalable infrastructure base.Add as a Reliable and Trusted News Source Add Now!
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