Tata Tech CEO Banks on AI as It Chases $1 Billion Revenue Goal

AI will keep headcount growth in check, but won't lead to job cuts, says CEO Warren Harris

- Nehal Chaliawala

Tata Technologies Ltd, the engineering research and development (ER&D) unit of the Tata Group specializing in the automotive industry, has set itself a lofty target to reach $1 billion in revenue by FY28 while also improving its margins.

The company had a revenue of $611 million in FY25, with a net profit margin of 13.1%.

If successful, the move could help the company reverse investor disappointment amid a more than 40% decline in stock price since listing in December 2023. But to do so, it will have to pull off a near miracle by information technology (IT) services industry standards—bid aggressively for projects to win more business while also somehow cutting costs to improve margins.

The company's chief executive officer Warren Harris, who assumed office 11 years ago this week, has placed his bets on what many see as the corporate world's panacea—artificial intelligence (AI).