TCS – Tata Consultancy Services says that its Platform and Product (P&P) business is worth approximately $3 billion and comprises about 12-15% of its total revenue.
N Ganapathy Subramaniam, Chief Operating Officer of TCS, said- the P&P business is not a separate unit. It continues to function under various verticals, emerging as a huge differentiator for India’s largest IT services provider by revenue.
Later, he added – ‘In the last 12 months, over 95% of deal wins have been Cloud-based, SaaS-based platforms. From a one-time license fee, it is moving towards a SaaS-based consumption model.’
According to the analyst, this shift is helping TCS win more deals from renowned platforms like HOBs, Cognix, and BaNCS.
‘Product and Platforms continue to perform well, winning more SaaS deals this quarter. Cognix won 6 large deals, Quartz blockchain had 2 new wins and one go-live, TCS HOBS suite of products for communication services providers had 4 new wins and 6 go-lives and TCS Mastercraft suite had 22 new wins in Q2FY 22’- confirms analysts Aniket Pande of Prabhudhas Lilladher in a note.
All the products were at different stages of maturity, with some like BaNCS having been in line over the years- said Subramaniam. ‘All of these products have given us the ability to develop knowledge about the industry; it is a huge achievement for us,’- he added.
These platforms are helping the TCS drive business and transforming the operating model for customers in different markets, mentioned Subramaniam.
HOBS, a telecom platform, is the current investment of TCS, helping bundle products and sell them on the fly, which would have taken six months.
Subramaniam said, in the next step, we will take an approach to scale up the business, where the focus would only be on SaaS.
TCS is an evolving IT company focusing on building systems. The company aims to automate the system where everything will generate itself, unlike the current business operations which require multiple approvals, he said.