TCS takes on OpenAI, Anthropic, Amazon and Microsoft; to build a team of forward-deployed engineers; CEO K Krithivasan says: We would be ensuring …

Tata Consultancy Services (TCS) is building a team of up to 8,900 forward-deployed engineers as it expands its artificial intelligence (AI) business. The move puts India’s largest IT services company in direct competition with firms such as OpenAI, Anthropic, Microsoft and Amazon, which are also hiring engineers to help customers adopt AI. As per a Reuters report, the company is also looking at acquisitions in AI, data security and cybersecurity. TCS CEO K Krithivasan said the company wants 1% to 1.5% of its workforce to become forward-deployed engineers (FDEs). “We would be … ensuring that we have as many as 1% to 1.5% of our associates who could be what you would call FDEs,” Krithivasan said.Based on TCS’ workforce at the end of June, this would mean around 5,900 to 8,900 employees. He did not say whether the company would hire new employees or retrain its existing staff.For those unaware, forward-deployed engineers work closely with customers to speed up AI adoption. They help businesses customise AI tools and integrate them into existing systems.

TCS also eyes AI acquisitions

Besides expanding its engineering team, TCS is evaluating acquisitions in AI, cybersecurity and data security. The company has mostly relied on organic growth in the past and has avoided large acquisitions.“We are looking at where we can find things which will help us enable or enhance our strategic positioning,” TCS CFO Samir Seksaria said as quoted by Reuters.

TCS CEO says AI will need IT partners

K Krithivasan also dismissed concerns that AI would weaken the outsourcing industry. He said companies will still need partners like TCS to connect AI models with their existing systems and manage data across their businesses.“What you need is a deep knowledge of the customer environment to make it work. That is where we differentiate ourselves. This has nothing to do with cost arbitrage. It’s essentially because of the talent pool that we have built,” he said.He also said businesses are increasingly using multiple AI models, making integration work more important.