Porsche inks $1.5 billion deal for AI deployment with India’s largest IT services firm Tata Consultancy

General atmosphere at the 2025 Icons of Porsche Festival at The Slab on November 22, 2025 in Dubai, United Arab Emirates. Maya Cellixa | Getty ImagesPorsche has signed a five-year contract worth 1.25 billion euros ($1.46 billion) for artificial intelligence with India's largest IT services firm, Tata Consultancy Services.As part of the deal, TCS will acquire Porsche's IT consulting business, MHP, for 320 million euros, the company said in a release.This will combine Porsche's "automotive expertise with TCS's digital and AI capabilities," Michael Leiters, chairman of Porsche, said in the press release. The partnership will boost the European sports-car maker's innovation, efficiency and competitiveness "in an increasingly data- and software-driven world of mobility."Since the start of the year, TCS has secured multiple AI-led business transformation deals and has said its annualized AI revenues were $2.6 billion in the June quarter, up 13.6% from a quarter earlier.AI is widely expected to hurt the business prospects of Indian IT services companies. The Nifty IT index, a benchmark for stocks of IT service companies, is down nearly 20% from the beginning of the year, as compared to th...