Posted 1/15/2024, 2:29:00 AM
Indian IT Growth Slows as TCS Focuses on Productivity Over Headcount
- Revenue growth slowing in Indian IT services, TCS grew only 1.7% YoY in constant currency last quarter
- TCS headcount has dropped by about 12,000 in last 6 months due to focus on productivity
- Drop is not due to AI, but conscious effort to improve productivity and use bench strength
- Moving from AI proofs-of-concept to production will take 4-6 quarters to become mainstream
- Global capability centers expanding in India, but unlikely to materially impact Indian IT services