TCS, SAP sign five-year deal to drive enterprise-wide cloud and generative AI transformation

India’s largest IT services firm, Tata Consultancy Services Ltd (TCS), on Thursday (November 27) said it has entered into a five-year deal with SAP to drive enterprise-wide Cloud and Generative AI transformation. SAP is on a journey to transform its operations through accelerated Cloud adoption and Business AI enablement, driving greater speed and efficiency.

In line with this vision, TCS will help SAP in streamlining its complex IT landscape, enabling seamless IT operations, and strengthening AI-led capabilities. The collaboration is positioned to deliver faster development cycles, lower total cost of ownership, and greater alignment between IT and business goals.

This collaboration builds on a two-decade-old partnership with SAP, as part of which TCS has set up and scaled Enterprise Cloud Services(RISE with SAP), as part of which TCS has contributing to transforming SAP’s business model from license-maintenance to pay-per-use Cloud services, enabling rapid scalability and agility.

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Over the next five years, TCS will focus on reshaping SAP’s IT business function to accelerate innovation and improve responsiveness to business needs.

Dr Benjamin Blau, Chief Process & Information Officer, SAP, said, “The TCS and SAP partnership is built on trust and excellence. TCS’s unwavering commitment and collaboration to drive innovations across products has
forged a long-lasting relationship with SAP. Together, we are simplifying our customer journeys and accelerating cloud adoption."

TCS will support SAP in delivering critical services towards an end-to-end lifecycle for IT applications in enterprise IT transformation through a unified, efficient, and AI-powered model. The engagement will be anchored by four strategic Centers of Excellence (CoE) for Generative AI, Business Technology Platform, Business Data Cloud, and Customer Experience.

The CoE for Generative AI will drive innovation to embed GenAI capabilities and features within SAP business processes. The CoE for Business Technology Platform is designed to enable faster development of next-gen features based on low-code, no-code solutions.

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Further, the CoE for Business Data Cloud will help create a uniform data architecture for SAP to productise enterprise data, and the CoE for Customer Experience will identify modern strategies to evaluate customer experience across the value chain.

Together, these CoEs will support SAP in delivering solutions, technologies, and processes that empower its customers, partners, and employees to unlock newer avenues for growth.

Shares of Tata Consultancy Services Ltd ended at ₹3,136.50, down by ₹25.75, or 0.81%, on the BSE.