Tata Consultancy Services (TCS), led by CEO K Krithivasan, is pushing back against market skepticism regarding the impact of artificial intelligence (AI) on the IT services sector. In a recent discussion following the company's financial results, Krithivasan emphasized that TCS is not merely adapting to an AI-driven landscape but is actively spearheading its evolution for major global enterprises. TCS reported an impressive $40 billion order book and $2.3 billion in AI revenue for the fiscal year 2026 (FY26). Krithivasan dismantled the prevailing narrative of revenue deflation due to AI automation, arguing that enterprises still require system integrators to effectively implement new technologies. TCS's Chief Operating Officer, Aarthi Subramanian, highlighted three key areas of AI spending: enhancing operational efficiency, modernizing legacy systems, and developing AI-specific applications. Looking ahead to FY27, TCS is optimistic about exceeding its growth target of 4.6% and has announced a return to its standard salary increment cycle, reflecting confidence in the demand environment.