TCS extends partnership with SAP to fast-track cloud and AI transformation with new Centres of Excellence

Tata Consultancy Services has renewed its five-year agreement with SAP to accelerate the German software group’s shift to cloud and generative AI, establishing centres dedicated to AI, data, and customer experience to enhance global operations and innovation.

Tata Consultancy Services (TCS) has signed a fresh five‑year agreement with SAP to accelerate the German software group’s shift to cloud and generative AI, extending a partnership that spans more than two decades. According to the original report, the deal will see TCS reshape SAP’s IT landscape to simplify operations, align technology with business objectives and enable faster development cycles while reducing operational costs. [^[1]^](https://itbrief.asia/story/tcs-sap-extend-deal-to-drive-cloud-ai-transformation)[^[2]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/sap-selects-tcs-in-five-year-deal-to-transform-its-it-landscape)[^[4]^](https://timesofindia.indiatimes.com/technology/tech-news/tcs-signs-5-year-deal-to-help-sap-with-cloud-and-ai-adoption/articleshow/125619417.cms)[^[5]^](https://economictimes.indiatimes.com/tech/information-tech/tcs-inks-5-year-deal-with-sap-to-streamline-it-ops-boost-ai-capabilities/articleshow/125614372.cms?from=mdr)

The arrangement is explicitly framed to advance SAP’s “SAP runs SAP” strategy, with TCS taking on responsibility for streamlining underlying IT operations and supporting seamless performance across the vendor’s global estate. Industry data and company statements show the emphasis is on moving from traditional licence and maintenance models to cloud‑first, usage‑driven approaches. [^[1]^](https://itbrief.asia/story/tcs-sap-extend-deal-to-drive-cloud-ai-transformation)[^[2]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/sap-selects-tcs-in-five-year-deal-to-transform-its-it-landscape)[^[5]^](https://economictimes.indiatimes.com/tech/information-tech/tcs-inks-5-year-deal-with-sap-to-streamline-it-ops-boost-ai-capabilities/articleshow/125614372.cms?from=mdr)

To operationalise the transformation, both organisations plan to establish four Centres of Excellence. The first will focus on Generative AI to embed automation and new AI‑driven use cases; others will concentrate on the Business Technology Platform (to accelerate low‑code/no‑code feature delivery), Business Data Cloud (to standardise data architecture and productise enterprise data) and Customer Experience (to improve engagement across SAP’s value chain). The centres mirror themes present in TCS’s wider cloud and GenAI programmes. [^[1]^](https://itbrief.asia/story/tcs-sap-extend-deal-to-drive-cloud-ai-transformation)[^[2]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/sap-selects-tcs-in-five-year-deal-to-transform-its-it-landscape)[^[3]^](https://www.tcs.com/who-we-are/newsroom/press-release/tcs-collaborates-with-sap-to-enable-enterprise-wide-enai-cloud-adoption-for-customer)

The partnership is positioned as a means to increase agility and innovation within SAP and to pass those benefits on to its customers. “TCS and SAP partnership is built on trust and excellence. TCS’s unwavering commitment and collaboration to drive innovations across products has forged a long‑lasting relationship with SAP. Together, we are simplifying our customer journeys and accelerating cloud adoption,” said Dr Benjamin Blau, Chief Process & Information Officer, SAP, as reported. [^[1]^](https://itbrief.asia/story/tcs-sap-extend-deal-to-drive-cloud-ai-transformation)

TCS framed the extension as part of a broader strategy to enable enterprise‑scale GenAI and cloud adoption for SAP customers, aligning with initiatives such as “RISE with SAP” to ease migration from on‑premises to cloud environments. The company has highlighted its experience delivering AI‑led IT transformation and noted similar engagements elsewhere where it has deployed autonomous enterprise platforms and cloud partnerships. [^[2]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/sap-selects-tcs-in-five-year-deal-to-transform-its-it-landscape)[^[3]^](https://www.tcs.com/who-we-are/newsroom/press-release/tcs-collaborates-with-sap-to-enable-enterprise-wide-enai-cloud-adoption-for-customer)[^[6]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/ai-led-it-transformation-tcs-partners-with-upm-to-modernize-its-it-landscape)[^[7]^](https://www.tcs.com/who-we-are/newsroom/news-alert/tcs-partners-google-cloud-accelerate-ai-led-transformation-retail-sector)

Analysts say the alliance reflects wider market pressure on legacy enterprise software vendors to streamline operations and monetise data while accelerating AI capabilities. The explicit focus on Business Data Cloud and platform‑centric development indicates SAP aims to develop more productised, data‑driven offerings and new revenue models for partners and customers. [^[1]^](https://itbrief.asia/story/tcs-sap-extend-deal-to-drive-cloud-ai-transformation)[^[5]^](https://economictimes.indiatimes.com/tech/information-tech/tcs-inks-5-year-deal-with-sap-to-streamline-it-ops-boost-ai-capabilities/articleshow/125614372.cms?from=mdr)

While the public statements stress collaboration and strategic intent, the renewed deal also underscores practical execution risks: delivering federated data architectures, embedding GenAI responsibly across mission‑critical processes, and realising projected cost and speed gains at scale. The companies will be judged on measurable operational improvements and the pace at which new AI‑enabled services reach customers. [^[1]^](https://itbrief.asia/story/tcs-sap-extend-deal-to-drive-cloud-ai-transformation)[^[2]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/sap-selects-tcs-in-five-year-deal-to-transform-its-it-landscape)[^[5]^](https://economictimes.indiatimes.com/tech/information-tech/tcs-inks-5-year-deal-with-sap-to-streamline-it-ops-boost-ai-capabilities/articleshow/125614372.cms?from=mdr)

📌 Reference Map:

##Reference Map:

• [^[1]^](https://itbrief.asia/story/tcs-sap-extend-deal-to-drive-cloud-ai-transformation) (ITBrief Asia) – Paragraph 1, Paragraph 2, Paragraph 3, Paragraph 4, Paragraph 6, Paragraph 7
• [^[2]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/sap-selects-tcs-in-five-year-deal-to-transform-its-it-landscape) (TCS press release) – Paragraph 1, Paragraph 3, Paragraph 5, Paragraph 7
• [^[3]^](https://www.tcs.com/who-we-are/newsroom/press-release/tcs-collaborates-with-sap-to-enable-enterprise-wide-enai-cloud-adoption-for-customer) (TCS newsroom) – Paragraph 3, Paragraph 5
• [^[4]^](https://timesofindia.indiatimes.com/technology/tech-news/tcs-signs-5-year-deal-to-help-sap-with-cloud-and-ai-adoption/articleshow/125619417.cms) (The Times of India) – Paragraph 1, Paragraph 2
• [^[5]^](https://economictimes.indiatimes.com/tech/information-tech/tcs-inks-5-year-deal-with-sap-to-streamline-it-ops-boost-ai-capabilities/articleshow/125614372.cms?from=mdr) (Economic Times) – Paragraph 1, Paragraph 2, Paragraph 6, Paragraph 7
• [^[6]^](https://www.tcs.com/content/tcs/global/en/who-we-are/newsroom/press-release/ai-led-it-transformation-tcs-partners-with-upm-to-modernize-its-it-landscape) (TCS press release on UPM) – Paragraph 5
• [^[7]^](https://www.tcs.com/who-we-are/newsroom/news-alert/tcs-partners-google-cloud-accelerate-ai-led-transformation-retail-sector) (TCS–Google Cloud news) – Paragraph 5

Source: Fuse Wire Services