Tata kehte hain TCS bada naam karega!
Tata Sons is one of the biggest business conglomerates in India and around the world. Its reliance on the IT-specialisation wing, TCS has only increased. In FY19, TCS’ contribution to Tata’s revenue increased from 70% the year before to 90%. Contribution of non-TCS companies shrunk by 23%.
TCS is among the top three most valued IT brands, but Tata’s reliance on the subsidiary may be risky. It has been solely responsible for the consolidation of all digital businesses. Mr. Ratan Tata’s decision to not go public with the company may have been another factor for TCS’ operations.
Over one week, TCS lost its top place to RIL in terms of market cap. Reports suggest that is also on its way to a multi-year technological transformation cycle. How strong will this company continue to be?