India’s Tata Consultancy Services (TCS) is planning to step up big time when it comes to tech spending in North America.
The software giant expects its retail and manufacturing clients in North America to step up spending on tech, following a similar upturn in its banking and financial services segment, a top executive of the company said.
READ: Tata Transformation Prize 2024 awards its second cohort of winners (November 26, 2024)
“We have heard about good holiday season sales [in the U.S.] that should boost consumer sentiment and manufacturing has some of the labour issues behind them,” CFO Samir Seksaria told Reuters.
“If these three verticals [along with banking] improve overall, we should see a good recovery,” he added.
Seksaria’s cautious optimism highlights broader global economic uncertainties and sticky inflation that have forced clients to keep a leash on tech spending.
TCS is one of the largest IT services and consulting companies in the world, and it has a significant presence in North America. TCS operates across various sectors, including banking, financial services, healthcare, retail, telecommunications, and manufacturing, providing services like software development, IT consulting, business process outsourcing, and digital transformation.
In North America, TCS has a large client base and operates through multiple offices, delivery centers, and innovation labs across the U.S. and Canada. The company’s North American operations are a key driver of its revenue and growth, with a focus on helping clients adapt to technological changes such as artificial intelligence, cloud computing, and data analytics.
READ: Three Indian scientists win first Tata Transformation Prize (November 7, 2023)
The company’s revenue in North America, its biggest market, dropped for the fifth quarter in a row, even though banking and financial services had their best performance since June 2023. Retail and manufacturing are the second- and fourth-largest sources of revenue for the $29 billion company.
Retail and manufacturing remain important contributors to the company’s overall revenue. Despite some challenges, TCS continues to maintain a large global presence, with a focus on innovation and digital transformation across various industries. By adapting to technological changes and focusing on key sectors, TCS aims to navigate these tough times and drive future growth.