TCS

TCS Becomes Largest IT Company in World

TCS

A recent report from Credit Suisse estimates that Tata Consultancy Services (TCS) has now passed International Business Machines Corp. (IBM) to become the world’s largest information technology services company, having previously overtaken IBM in market capitalization in 2016. TCS’s total revenues were around $19 billion in fiscal year 2017, compared to IBM’s $80 billion, but the latter’s revenues have been falling as it sheds low-margin businesses. Both companies are based in India.

 

Reaching top spot

India’s software services industry leader Tata Consultancy Services (TCS) announced it was now larger than US giant IBM by employee numbers, as well as revenues and profit. TCS also said it had appointed Vineet Nayar, its chief executive, as non-executive chairman of Tata Sons Ltd., a move aimed at bolstering its prospects for future growth. Nayar replaces Ratan Tata who held both positions until he stepped down from leading the $68 billion conglomerate last month.

 

History behind this achievement

TCS (Tata Consultancy Services) is an Indian multinational information technology (IT) services, business solutions and consulting company headquartered in Mumbai, Maharashtra. They were established on 28 February 1968 by a division of Tata Sons Limited. It was formed to leverage computer technology to serve Indian businesses. TCS has over 380 offices across 47 countries. As of 2012, it is among India’s most valued companies and listed by Forbes as India’s second largest publicly traded company.

 

Achievements of the company

TCS (Tata Consultancy Services) is an Indian Multinational Information Technology Consulting, it was founded in 1968. Now TCS become largest software company by stock market valuation and annual revenue.

 

Future plans

As per reports, TCS is likely to become largest technology company in next 3 years. Its current revenue of US$18.4 billion has enabled it to become world’s third largest company and largest Indian company in terms of market capitalization. CEO N Chandrasekaran said that as present, I have no plans for major acquisitions or a large-scale expansion plan like Infosys’ acquisition of iGate etc., but will focus on organic growth. He further added that We are not going to be over ambitious with our targets. We are just going to keep doing what we do best, which is delivering high quality services at scale.

The company also announced its quarterly results today which beat analysts expectations. It reported net profit of Rs 5,254 crore for three months ended June 30, 2014 compared with Rs 4,464 crore in same period last year.

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