TCS to take over Best Buy's India GCC under multiyear deal

Bengaluru: Bengaluru: Tata Consultancy Services will take over US electronics retailer Best Buy's global capability centre (GCC) in India under a multiyear agreement, the IT services company said late on Thursday.

The Best Buy India entity will transition to TCS, it said. A stock exchange filing by India's largest IT services firm did not disclose any financial terms, the exact duration of the agreement or the number of employees who would move to TCS.

TCS plans to develop the GCC into an AI-native capability centre, it said. Teams will redesign work processes and develop AI applications for Best Buy, combining the retailer's business knowledge with TCS' technology and engineering capabilities, the filing said.


The Mumbai-based company also sees scope to extend the work beyond Best Buy. "By bringing that talent together with TCS' retail expertise, AI, engineering and global execution capabilities, we will create an AI-native capability engine that aligns Best Buy's priorities. This partnership will also create a repeatable value platform that can potentially benefit the broader retail industry," said Krishnan Ramanujam, president of TCS' consumer business group.

The deal is the latest example of IT firms taking over captive centres to aid revenue growth amid AI-led deflation and macroeconomic uncertainty. TCS' smaller rival, HCLTech, acquired US insurer Guardian Life Insurance's India operations in July this year, while Infosys bought the India-based IT centre of German's Danske Bank.