HCLTech ramps up Al, data stack with $400-mn M&As

The deals are capability-led, signalling the urgency to reposition the firm for AI-led growth

- Jas Bardia

HCL Technologies Ltd announced $400 million worth of acquisitions in the past week—the most it has spent in three years—as it moves to strengthen AI and data offerings for customers increasingly adopting automation.

India’s third-largest IT services firm said on Monday that it would spend more than $240 million to buy Jasper soft, a US data analytics company. That day, HCL also said it would buy Wobby BV, a Belgian startup that provides AI agents for data analysis purposes. The firm's acquisition spree started on 18 December, when it said it would purchase the Telco Solutions business of Hewlett Packard Enterprise for $160 million. This division provides AI and cloud software to telecom companies.

The acquisitions come as a shot in the arm for C Vijayakumar, the chief executive officer of the fastest-growing of the country’s five largest IT services companies. HCL ended last year with $13.84 billion in revenue, increasing 4.3% from the preceding year.

The buyouts seek to improve capabilities and not to scale business units, said Phil Fersht, CEO of HFS Research, a Massachusetts-based research firm. It signals intent and urgency as HCL Tech fast-tracks strengthening softwareand data-driven capabilities rather than rely just on traditional services growth.