Cyient to Acquire TAO Digital to Boost AI-Native Engineering Capabilities
Cyient Limited has entered an agreement to acquire TAO Digital Solutions Inc., an AI-native data and product engineering firm. The acquisition aims to enhance Cyient's AI-native engineering capabilities and expand its presence in Automotive, Hi-Tech, and HealthTech sectors. The transaction is expected to close by Q2 FY27, subject to regulatory approvals.
The acquisition is significant for Cyient's strategic growth and technological advancement in AI and data engineering, impacting its competitive positioning and service offerings.
The acquisition of TAO Digital is framed as a strategic move to enhance Cyient's AI capabilities and market position, which is viewed positively.
Cyient Limited has announced its entry into a definitive agreement to acquire TAO Digital Solutions Inc., an AI-native data and product engineering solutions firm. This acquisition is expected to enhance Cyient’s offering portfolio by integrating TAO Digital’s AI-native data and lifecycle engineering capabilities, aiming to drive data-readiness and digital transformation for its customers.
Founded in 2022 and headquartered in Santa Clara, California, TAO Digital has established itself as a partner for global enterprises across various sectors including Automotive, Hi-Tech, and HealthTech. The company specializes in data engineering, AI-enabled platform solutions, digitization, and cloud services. The acquisition is anticipated to bring synergistic capabilities in AI and Data Engineering, including enterprise-grade AI adoption, GenAI production deployment, and AI lifecycle operations, as well as Digital and Product Engineering encompassing cloud-native platforms and application modernization.
The transaction is subject to customary regulatory approvals and closing conditions, with an expected closing by Q2 FY27. Sukamal Banerjee, Executive Director and CEO of Cyient, stated that the acquisition marks a transformative moment, positioning Cyient among a select group of partners capable of delivering AI-native engineering globally. He highlighted the fusion of Cyient's engineering heritage with TAO Digital's AI-native capabilities, strengthening their presence in key sectors and expanding their customer footprint, particularly in North America.
Rajkumar Velagapudi, Founder & CEO of TAO Digital, expressed excitement about joining Cyient, citing its global reach and technical excellence as an ideal platform to amplify TAO Digital’s strengths. He noted the shared commitment to delivering enhanced customer value through strong execution and partnership.
Cyient, a global ER&D company, reported annual revenue of $658 million for FY26 and serves over 300 global customers across 30 countries. TAO Digital, with over 3,500 experts, empowers businesses through AI-driven services and solutions in Automotive, Hi-Tech, and HealthTech sectors.
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