TCS announces a major $700 million acquisition of Salesforce specialist Coastal Cloud, marking its second US buyout in under three months and boosting its AI-cloud prowess.
Acquisition Details
Tata Consultancy Services (TCS) revealed on December 10 its all-cash deal to acquire Coastal Cloud Holdings, a top Salesforce partner, for up to $700 million (including deferred payments). The Florida-based firm, with $141 million in recent trailing revenue and 400+ certified experts, specializes in multi-cloud implementations like Sales Cloud, Service Cloud, and AI tools such as Agentforce and Data Cloud. Deal closure is slated for January 31, 2026, via TCS’s US subsidiary ListEngage.(see the generated image above)
Strategic Boost
This follows TCS’s $72.8 million purchase of ListEngage in October, catapulting TCS into the global top 5 Salesforce consultancies. Coastal Cloud’s mid-market focus, advisory depth, and US talent pool help TCS navigate visa challenges while expanding in high-growth AI and data services.
Leadership Insights
TCS COO Aarthi Subramanian hailed it as a “pivotal milestone” for AI transformation and global Salesforce leadership. Coastal Cloud CEO Eric Berridge emphasized enhanced scale for customer transformations. TCS plans more M&A in AI, cloud, cybersecurity, and digital engineering.
