Tata Consultancy Services (TCS) is set to intensify its focus and investments in automotive labs and advanced AI technologies, including generative AI, to bolster its engineering, research and development (ER&D) capabilities, Sreenivasa Chakravarti, vice president of IoT and digital engineering at TCS, told FE.
“We have invested in automotive labs, focusing on connected, autonomous, and electric vehicles. Furthermore, we are advancing our capabilities in AI and generative AI to ensure these technologies significantly contribute to our growth in the ER&D space,” Chakravarti said.
In FY24, TCS increased its R&D and innovation expenditure by 10% year-on-year, reaching `2,751 crore.
Four key trends shaping the ER&D sector
TCS is currently navigating four significant trends in the ER&D market, with net-zero goals and AI innovations leading the charge. “Almost all companies today have made their intent known that they want to be net-zero by a certain time,” Chakravarti said, emphasising the importance of sustainable product designs and manufacturing processes that consume less energy and reduce carbon footprints.
The second major trend is the shift towards software-driven products, which enable enhanced features like remote control and autonomous capabilities through over-the-air updates.
The third trend is digital transformation, particularly the adoption of digital twins, which facilitate the virtualisation and simulation of products, leading to better efficiency and innovation. Lastly, the utilisation of AI and genAI is becoming increasingly critical. These technologies are not only transforming traditional R&D processes but also setting new benchmarks for rapid and innovative product development, he added.
However, a significant challenge facing the ER&D sector is talent creation. Rapid technological advancements demand a workforce that is not only highly skilled but also quickly adaptable to new tools and innovations.
“The rate of technology evolution is very rapid… there is a kind of talent scarcity, and the academic system has to also gear up,” Chakravarti stated.
Despite the challenges in the ER&D sector, particularly those stemming from policy changes in Germany impacting the automotive industry, Chakravarti remains optimistic.
“These are very large companies… and if the market absorption trend is in favour of a particular technology, then none of these will become long-term roadblocks,” he said.
Additionally, the integration of AI and genAI into engineering processes is advancing, though perhaps more slowly than some might anticipate.
“It is a brand new technology. First, you have to skill the people… It will take time till they build their kind of thought process on how they want to go ahead with it,” Chakravarti said.
From: financialexpress
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