TCS CEO pegs AI services run‑rate at $1.5 billion with 16% QoQ growth

TCS putting a hard number—$1.5 billion—on its AI services run‑rate is a useful barometer of how quickly enterprise demand is shifting. This is not model training revenue; it’s integration, consulting, and managed services wrapped around models from OpenAI, Google, and an expanding open‑source universe. The 16% QoQ growth suggests that for a Tier‑1 SI, AI is already a material, faster‑growing line of business rather than a peripheral experiment. ([timesofindia.indiatimes.com](https://timesofindia.indiatimes.com/business/india-business/1-5-billion-revenue-from-ai-services-tcs-ceo/amp_articleshow/126048636.cms?utm_source=openai))

In the race to AGI, firms like TCS are key distribution channels. They decide which models and toolchains get normalized inside banks, telcos, and governments across India and beyond. An internal “AI‑first” mantra—asking on every project what AI can do, even at the cost of cannibalising legacy work—means more systematic experimentation with agentic workflows, code generation, and decision support. That will drive real‑world feedback loops into model providers and accelerate the hardening of AI into critical business processes.

It also points to a power shift: frontier labs may own the models, but integrators own the customer relationships and domain context. As AGI‑like capabilities arrive, these intermediaries will have enormous influence over whether they’re deployed cautiously, sloppily, or not at all.