Story perspectives

TCS to buy MHP for €320 million, AI partnership

8/25/2026

Summary

TCS Acquires Porsche MHP

Tata Consultancy Services is buying Porsche's German consulting unit MHP for €320 million.
The acquisition includes a five-year AI-focused IT modernization partnership with Porsche worth €1.25 billion.
MHP employs roughly 4,500 staff and generated €742 million turnover in calendar year 2025.
Porsche will retain the MHP brand as an independent consultancy inside TCS.
The deal awaits merger-control clearance from the European Commission, EU foreign-subsidies review, and German and Romanian approvals.

Summary

Porsche Partners TCS

Porsche shares fell 2.02% to €44.10 after announcing the Tata Consultancy Services (TCS) deal.
Porsche recently divested Bugatti and Rimac stakes and shut Cellforce, cutting over 500 jobs.
TCS will create an AI Mobility Centre of Excellence to industrialise AI across Porsche’s engineering, manufacturing and customer experience.
Indian IT firms Infosys, HCLTech and Persistent Systems have recently bought German automotive engineering companies, indicating a supply-chain acquisition wave.

History

Historical Context

In 2002 IBM bought PwC Consulting, merging it into its Global Services division. The acquisition accelerated IBM’s transition from hardware to consulting, contributing to a workforce of 160,000 consultants and a $20 billion consulting valuation by 2024. This historic pivot underlies today’s competitive landscape for large IT service deals in Europe.

1 of 3

TCS Acquires Porsche MHP

Tata Consultancy Services is buying Porsche's German consulting unit MHP for €320 million.
The acquisition includes a five-year AI-focused IT modernization partnership with Porsche worth €1.25 billion.
MHP employs roughly 4,500 staff and generated €742 million turnover in calendar year 2025.
Porsche will retain the MHP brand as an independent consultancy inside TCS.
The deal awaits merger-control clearance from the European Commission, EU foreign-subsidies review, and German and Romanian approvals.

1 / 3