Tata Consultancy Services Ltd and Infosys Ltd, the two largest technology outsourcing companies in India, are leveraging Adobe’s agentic AI push to sell a full suite of automation tools, according to executives and analysts Mint spoke with. At stake is TCS and Infosys’ ability to report higher revenue earned from core generative AI deals—which has been a rarity for Indian information technology (IT) services providers.
Valuation gap: revenue vs. market value
Adobe, whose key offering in its 43-year history has been its creative software platforms such as Photoshop, After Effects, InDesign and Premiere Pro, earned $21.51 billion in annual revenue last fiscal and has guided for $23.55 billion at a 9.5% annual growth in FY25. While not counted among the Big Tech companies of the US, Adobe ranks among the world’s top 100 most valuable firms, with a market capitalization of $169 billion at the time of writing.
In comparison, TCS, which generates higher annual revenue than Adobe; and Infosys, whose annual revenue is close that of Adobe, are valued at $154 billion and $76 billion, respectively. This is because software makers like Adobe hold patents and generate higher margins in their businesses, which investors value more than low-margin, cost arbitrage business models like that of technology outsourcing firms.
AI boost to marketing and commerce
Speaking with Mint, Ramachandran Srinivasan, go-to-market partner and senior consultant at TCS, said that Adobe’s AI push is a key part of TCS’ efforts in selling AI services to marketing and communications partners.
“We already integrate Adobe’s creative cloud and marketing cloud platforms into our offerings in the marketing, media and communications vertical. The AI offerings help us offer visual rendering of products on-location through digital commerce platforms, and we are seeing increasing demand and adoption across operations such as marketing commerce, marketing automation, and more,” Srinivasan said. “With agentic AI automation, we are seeing significant interest from companies to adopt TCS’ AI offerings, in which Adobe’s cloud services play a key role.”
For Infosys, too, Adobe is helping generate revenue from AI operations in “digital commerce, integrated marketing and mar-tech sectors”, said Balaji Sampath, vice-president at segment head of marketing at Infosys.
“Our research indicates that over 70% of enterprises have deployed AI, including generative AI, across marketing, with over 50% achieving business value,” Sampath said. Infosys’ AI-amplified marketing suite Aster “brings together Adobe’s full suite of offerings, our industry solutions, and a rich partner ecosystem to help enterprises deliver engaging brand experiences, enhance marketing efficiency, and accelerate growth”, he said.
Two senior executives at TCS and Infosys added that Adobe’s cloud products, which now include its full-stack agentic AI platform, drive $500 million to $1 billion in annual revenue for each company. Neither confirmed these integrations in response to Mint’s emailed queries.
TCS and Infosys disclose revenue generated from marketing deals under their ‘communication’ verticals. According to the latest quarterly financial reports filed by both companies in January, TCS generated $437 million from marketing, media and communication projects. Infosys, meanwhile, had a larger footprint in this vertical, earning $553 million from such deals between October and December.
So far in the 2024-25 financial year, TCS has generated $1.36 billion from its communication vertical, while Infosys earned $1.7 billion.
Generative AI: Long road to growth
Selling generative AI has been seen as a key factor for India’s tech firms to pitch themselves at the cutting edge of global technology developments. However, a downturn in overall sentiment, driven by multiple geopolitical conflicts and the threat of rising inflation, has hurt both TCS and Infosys in their ability to convince businesses to make discretionary spending—which typically drives large, multi-year technology transformation deals.
To be sure, Adobe has already been a key business partner for TCS and Infosys. Its latest AI push only makes the software maker more valuable to the tech outsourcers.
To underline this, last week, Adobe showcased partnerships with Air India and HDFC Bank in India as clients integrating AI into their operations. TCS and Infosys are taking cues from them to amplify Adobe’s push to sell ‘ethical’ AI.
“We would rather drive revenue slowly and use trust with clients to create long-term value for shareholders and as a company in the overall sense,” Eliot Greenfield, global chief technology officer, digital media business at Adobe, told Mint. “Making sure that enterprises are indemnified from lawsuits while using AI in commerce and communications is key, which is where our AI models, though they may be less striking than some of our peers, are winning big.”
Analysts, however, believe that the marketing and communications division would not be a long-term solution to help India’s IT firms establish a steady revenue stream from AI deals.
“Winning generative AI deals for Indian IT services companies would be important to protect their future revenue as the industry goes through the technology transition,” said Kumar Rakesh, senior analyst for IT and automotive at brokerage firm BNP Paribas. “However, the use cases for large-scale generative AI deployments currently are limited. As these use cases evolve, we expect its demand to be driven by multiple industry verticals.”
For India’s IT firms, it is “still too early” to talk about ranking in terms of market share solely from GenAI, according to Rakesh.
“We’re still about 18 months away from seeing the early signs of generative AI becoming a driver in terms of deal wins that the IT firms will report, and at least two to three fiscals before we see them face a significant impact from winning or losing out on generative AI adoption,” he said. “That said, integration of generative and agentic AI in large deals being signed today is equally important for these firms as it helps them showcase their capabilities; and for their clients, it helps them future-proof their tech architecture from technological changes.”
The writer was at Summit 2025 in Las Vegas, USA, on Adobe’s invitation
https://www.livemint.com/industry/tcs-infosys-accenture-adobe-agentic-ai-generative-ai-automation-11742806472314.html
