HCLTech To Offer Up to ₹22 Lakh CTC For AI Ready Freshers

HCLTech has raised starting salaries for a small group of highly skilled engineering graduates, offering packages that go up to ₹22 lakh a year as it tries to lock in talent in AI.

At its Q3 FY26 earnings call, the company said the move is aimed at hiring what it calls an elite group of freshers who will work in areas such as data and AI, digital engineering, cybersecurity and enterprise platforms. These engineers will be paid 3 to 4 times more than standard entry level recruits, with pay bands ranging from ₹18 lakh to ₹22 lakh.

“Two quarters back, we did very proactively talk about the elite engineers. We had shared that our entry level salaries will have the elite cadre earning 3X to 4X of the regular hires. That 3X to 4X is anywhere between Rs 18 lakhs to 22 lakhs,” Ram Sundararajan, HCLTech’s chief people officer, said.

“We have to be competitive to be able to attract the best of talents that we want for our elite cadre.”

HCLTech has earlier said this elite pool will make up about 15-20% of its total fresher intake, as the company shifts from bulk hiring to a more selective model focused on advanced skills.

The move comes as competition for AI ready engineers is heating up across the Indian IT sector. Infosys has also increased fresher pay for niche roles. In December, the company announced an off campus hiring drive for 2025 engineering and computer science graduates, offering salaries ranging from ₹7 lakh to ₹21 lakh for specialised technology positions.

HCLTech ended the December quarter with a marginal decline of 261 employees, taking its total headcount to 226,379. During the quarter it added 2,852 freshers, but overall numbers were weighed down by attrition and selective workforce pruning rather than a broad hiring slowdown.

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TCS’s AI Bet Pays Off With $1.8 Billion in Annualised AI Revenue in Q3

TCSTCS

Tata Consultancy Services turned months of AI talk into hard metrics in the third quarter of FY26, showing that the company’s aggressive pivot toward AI is now starting to move the topline, the order book, and even margins in the right direction.

For the quarter ended December 31, 2025, TCS reported revenue of ₹67,087 crore, up 2% sequentially, or 0.8% in constant currency terms. The IT giant earned a net income of ₹13,438 crore, up 8.5% year-on-year, with net margins improving to 20%—a 40-basis-point gain over the previous quarter.

Profit after tax has declined 14% YoY to ₹10,657 crore.

Operating margin held steady at 25.2%, an important signal at a time when the company is spending heavily on AI platforms, talent, and data centre infrastructure.

The standout number, however, was AI’s contributions to the topline.

TCS said its annualised AI services revenue has now reached $1.8 billion, up 17.3% quarter-on-quarter in constant currency terms. In the previous quarter, the company had disclosed $1.5 billion in AI revenue.

AI is Working for TCS

The jump confirms that what management had described as a fast-moving AI pipeline is now converting into billable business.

K Krithivasan, chief executive and managing director, framed the quarter as proof that the AI-first reset is working.

“The growth momentum we witnessed in Q2FY26 continued in Q3FY26. We remain steadfast in our ambition to become the world’s largest AI-led technology services company, guided by a comprehensive five-pillar strategy. Our AI services now generate $1.8 billion in annualised revenue, reflecting the significant value we provide to clients through targeted investments across the entire AI stack, from Infrastructure to Intelligence,” he noted in the financial statement.

Over the past few months, TCS has been pushing AI across verticals, from infrastructure and model integration to domain-specific agents and autonomous service delivery. Nearly all developers working with the firm now use AI tools, and thousands of projects are already being delivered with some level of autonomy.

The order book offers another hint at the growing AI momentum. TCS signed $9.3 billion worth of contracts during the quarter, one of its strongest performances in recent periods. This comes after months of concern over the pipeline of large deals drying up.

With large enterprises now moving from AI experiments to scaled deployments, TCS is positioning itself as the integrator that can bring models, data, security, and industry processes together inside real production systems.

Aarthi Subramanian, president and chief operating officer, said client behaviour is shifting in exactly that direction.

“We continued to see AI acceleration this quarter. We helped customers identify valuable AI opportunities through Innovation Days and deployed solutions faster with Rapid Builds. Our customers continue to invest in Cloud, Data, Cyber and Enterprise Transformations to build readiness for AI. We further strengthened our Salesforce capabilities with Coastal Cloud acquisition, building on our investment in ListEngage,” she said in the earnings statement.

What Else Happened?

During the quarter, TCS acquired the US-based consultancy firm Coastal Cloud in a $700-million acquisition aimed at boosting TCS’ capabilities in Salesforce-driven enterprise transformations.

At the same time, the company is using formats like Innovation Days and Rapid Builds to push clients from ideas to working AI systems faster, a key part of its effort to move beyond pilots into real revenue.

Explaining the financial discipline behind the strategy, CFO Samir Seksaria pointed to strong cash generation and stable margins even as the company steps up investment.

“Backed by a robust balance sheet, we continue to invest confidently in strategic growth areas. Executing our five-pillar AI strategy at speed and scale is central to our transformation into an AI-first enterprise, and delivering long-term value for our stakeholders,” he said in the statement.

Cash flow from operations was 130.4% of net income in Q3, giving TCS room to fund its multibillion-dollar data centre plan without stretching the balance sheet.

Those data centres, which will provide long-term capacity for AI workloads and sovereign cloud projects, are designed to create annuity-style revenue streams rather than one-off project fees.

While they will not contribute much to revenue immediately, they anchor TCS’ ambition to become a full-stack AI services and infrastructure provider.

The workforce is being reshaped just as aggressively. Sudeep Kunnumal, TCS’ chief HR officer, said the company now has more than 2,17,000 associates with advanced AI skills, a sharp increase over the past year. Despite this, the company ended the December quarter with 5,82,163 employees, down 11,151 from the previous quarter.

“We doubled our intake of fresh graduates with higher-order skills, rapidly expanding our next-generation talent pool,” he noted.

Overall, over 37% of TCS’ workforce is trained in advanced AI skills. This matters because one of the biggest questions around AI in IT services is whether automation will eat into billing by replacing human effort. TCS is betting that by training a large base of AI-fluent engineers and consultants, it can sell higher-value, more autonomous services rather than simply fewer people.

TCS’ stock was up 1.1% on the NSE, with shares trading at Rs 3,240 apiece.

Put together, the Q3 results suggest that TCS’ reinvention is no longer just a story told on analyst days. AI revenue is rising faster than the core business. Deal flow is picking up. Margins are holding. Cash is being generated to fund the next phase, which includes massive data centre investments and deeper partnerships with AI model providers and hyperscalers.

The real test will be whether this momentum carries into the next few quarters as global clients move more workloads into AI-driven systems.

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HCLTech Cuts Net Jobs, Adds 2,852 Freshers in Q3 As Revenue Jumps 13%

HCLTechHCLTech

HCLTech’s headcount fell for a second straight quarter in Q3 FY26, even as the company added nearly three thousand freshers. The company reported strong revenue growth, underscoring how the IT major is reshaping its workforce amid an AI-driven transition.

It ended the December quarter with 2,26,379 employees, down by 261 from the previous quarter. During the same period, it added 2,852 freshers, indicating that the net decline came from exits and restructuring rather than a hiring freeze. Attrition improved to 12.4% on a last-12-months basis.

HCLTech has been steadily reducing its dependence on traditional onsite and visa-heavy staffing models, while pushing local hiring and building capabilities around AI engineering, automation, and digital delivery.

In the previous quarter, management had said the company was fixing location and skill mismatches and rationalising teams in acquired businesses as part of a broader restructuring effort.

This workforce reset is happening alongside rising business momentum.

In Q3 FY26, HCLTech reported a 13.32% year-on-year rise in revenue to ₹33,872 crore, even though net profit fell to ₹4,076 crore, due to restructuring and higher investment in AI. It includes the one-time impact of New Labour Codes, the company said.

It also reported strong deal momentum, with total contract value of new deal wins rising 43.5% year-on-year to $3 billion, pointing to continued demand even as the company trims and reshapes its employee base.

For the full year, HCLTech has guided to 4-4.5% revenue growth in constant-currency terms.

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Indian H-1B Visa Holders Trapped by Wait Times, Policy, and Geopolitics

Puneet Sharma (name changed), a director at a Big Tech firm in the US, travelled to India in December for his H-1B visa extension appointment and to attend a cousin’s wedding. His visa interview, originally scheduled for December 24, 2025, has now been postponed to July. Sharma remains stranded in the country, while his wife and two children—an eight-year-old daughter and a three-month-old son—remain in Palo Alto, California. Despite lawyers trying to expedite the process, there has been no change in his status.

Ruma Saha, a data science engineer in Dallas, Texas, plans to get married in India in May. However, her lawyer has advised her to defer the wedding until the end of the year, given the prevailing uncertainty over visa stamping and delays.

“All our bookings are set for a destination wedding in Banaras. We’re unsure how to proceed. Postponing means a significant financial loss,” she told AIM.

Theirs are among thousands of cases of Indians either stranded in their home country or forced to postpone travel plans as the recent changes in H-1B visa rules come into full effect, disrupting lives across continents.

Policy Whirlwind

In September last year, US President Donald Trump introduced a one-time $100,000 fee on new H-1B visas, aimed at prioritising top-tier, high-salary roles. In addition, the US Department of Homeland Security replaced the visa lottery system with a wage- and skill-based weighted selection process, making it harder for entry-level roles.

The move is likely to impact Indian workers seeking temporary US employment, as Indians constituted the largest share of H-1B visa holders worldwide in 2023 and 2024, accounting for over 70% of approvals.

Also, in December, the Trump administration required applicants and their family members travelling with them to make their social media profiles public for review, allowing officials to identify potential security threats.

In response, leading tech companies, including Google, Apple, Microsoft, and ServiceNow, issued travel advisories to H-1B workers, advising them against travelling outside the US. While ServiceNow warned that ​​employees travelling to India for visa stamping risk “significant delays in securing an appointment,” ​​​​Microsoft cautioned that emergency appointments are “highly unlikely” to be approved.

The visa changes have caused great distress to Indian H-1B visa holders.

“My husband and I came to India in the first week of December 2025. Our consular appointments were cancelled the day after landing and rescheduled to May 2026. The employer helped with emergency appointment requests but even with that our appointments only moved to March. We are currently in India with a child. It has been extremely stressful (sic),” wrote an H-1B visa holder on Reddit recently.

She noted that while appointment cancellations had stopped, there were no new slots for regular or emergency appointments.

An Uncertain Future

Senthil Kumar K, Managing Attorney at Murthy Immigration Services, noted that approvals are being unnecessarily stalled. He said that many Indian H‑1B workers who travelled to India for a brief holiday and routine visa stamping now find themselves stranded because their consular interviews have been postponed by several months—in some cases even to 2027.

“Extended postponements make continuity of employment uncertain, as most US employers cannot hold positions open indefinitely. Applicants with prior arrest records are increasingly placed in administrative processing, even when previous visas were granted after full disclosure and case resolution,” he told AIM.

He also observed an increase in “prudential” visa revocations for applicants with prior arrests, including cases previously cleared for visas. He advises clients to avoid non-essential international travel. “These are challenging times for H-1B workers, even those with stable employment. Travel outside the US carries the risk of indefinite delays and uncertainty regarding return.”

Lawyers suggest the ‘Temp Work Assignment’ option for people working for companies with offices in India. It allows an employee to work for 185 days from India on a US payroll. Without that, one can only work for two weeks on an H-1B visa; after that, they have to take a leave of absence.

“Visa issuance is an internal policy matter for the US, and there are clear limits on how much external actors can influence such decisions. While diplomatic efforts may continue in the background, applicants should be realistic about the time it may take for the situation to improve,” Senthil clarified.

Meanwhile, Ellen Freeman, Managing Partner at Ellen Freeman Immigration Law Group, PLLC, questioned why technologies like artificial intelligence and other automated background checks aren’t being used to expedite the process, especially since delays began before December 15. “Some clients had appointments as early as December 8, yet they were delayed. Biometric appointments were often followed by months-long gaps before the actual interview. Appointments are now being pushed into mid-2027.”

Many of these applicants have already undergone extensive checks. Before the recent rule changes, they would have been eligible for a mail-in visa and wouldn’t have needed in-person interviews.

While India has raised concerns over visa delays affecting its nationals, the current state of geopolitics and demand for specialised talent may be tilting the US visa policy in favour of some nations.

Favouritism towards China?

Freeman confirmed that her Chinese clients are facing no delays in H-1B visa approvals. “I advised two Chinese clients to cancel travel plans during the New Year, anticipating general H-1B delays. They were surprised because they had already received their visa approvals. The social media vetting and extreme appointment delays at Mission India seem to disproportionately affect Indian H-1B workers,” she told AIM.

While Indians form the vast majority of H-1B visa holders worldwide, China ranks second, with approximately 46,680 H-1B visa approvals in 2024, accounting for 11.7% of the total.

The US State Department does not offer concrete numbers for H-1B visa interview waiting times. However, one can get a sense of the delay by looking at the B1/B2 visa categories for temporary business or leisure travel.

While applicants in the Chinese cities of Beijing, Shanghai, and Guangzhou had waiting times of one month or less for B1/B2 visas, it was a different story in India. In Delhi, the waiting period is nine months, as of mid-December 2025. In Mumbai and Chennai, it’s 7 months, while in Hyderabad, applicants have to wait for four months to get an interview.

The US’s softening stance towards China may be explained by the postponement of new export controls, dialling down of threats to Taiwan’s political engagements, and calming tariff-related market fears.

Beyond Asia, the UK and Canada are expected to benefit from these rule changes, as any gaps in tech employment may be filled by immigrants from these countries with an easier visa process.

However, for Indian workers and students in the US, any silver lining is yet to appear.

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Apple, Google Enter Multi-Year Deal to Power Apple Intelligence Models

Apple has entered into a multi-year collaboration with Google under which the next generation of Apple Foundation Models will be built on Google’s Gemini models and cloud technology, the companies said on Monday.

The new foundation models will power upcoming Apple Intelligence features, including a more personalised version of Siri expected to roll out later this year. According to the announcement, Apple selected Google’s technology after evaluating multiple options.

“After careful evaluation, Apple determined that Google’s AI technology provides the most capable foundation for Apple Foundation Models,” Google said in a statement. “These models will help unlock new experiences for Apple users.”

Apple said Apple Intelligence will continue to operate on Apple devices and through its Private Cloud Compute infrastructure, a system designed to handle more complex AI tasks while limiting data exposure. “Apple Intelligence will continue to run on Apple devices and Private Cloud Compute, while maintaining Apple’s industry-leading privacy standards,” the company said.

On January 7, Google became the world’s second most valuable company, surpassing Apple for the first time since 2019.

The partnership reflects a change in Apple’s approach to developing the core models behind its AI features. Until now, Apple Intelligence has been powered primarily by Apple’s in-house foundation models, introduced in 2024 and optimised for on-device use on Apple silicon. Those models focused on tasks such as text rewriting, summarisation, image generation, and basic Siri improvements, with larger requests routed to Private Cloud Compute.

Apple has positioned Apple Intelligence as a hybrid system, combining on-device processing with cloud-based models for more demanding tasks, while emphasising that user data is not stored or used to train external models.

The deal also strengthens Google’s position as a provider of foundation models and cloud infrastructure to major technology companies. Gemini is Google’s flagship family of AI models and is already used across its own products, including Search, Workspace, and Android.

Apple did not disclose the financial terms of the agreement or specify which versions of Gemini would be used. Meanwhile, Google recently launched its latest model, Gemini 3.

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The Billion Dollar Battle to Become Your AI Doctor

The competition in healthcare AI is heating up. Just days after OpenAI launched ChatGPT Health, Anthropic has rolled out Claude for Healthcare, accelerating the race to embed generative AI deeper into medical workflows.

Unlike ChatGPT Health, which operates as a separate, sandboxed space within ChatGPT, Claude for Healthcare is woven directly into Anthropic’s Claude chatbot. According to the company, the new features allow Claude to securely access trusted medical and insurance databases to assist with medical-related queries and routine healthcare tasks.

For hospitals and insurers, Claude can verify whether a treatment is covered by insurance or assist with preparing documentation when claims are rejected. For patients, it can simplify complex lab reports and medical histories into understandable language.

ChatGPT Health, by contrast, offers a dedicated environment for health and wellness queries, where users can optionally connect medical records, fitness trackers or nutrition apps. This ensures responses are grounded in personal data rather than generic information.

Both offerings are compliant with the US Health Insurance Portability and Accountability Act, enabling hospitals, medical providers, insurers and consumers to handle protected health information securely. Anthropic has also integrated scientific databases into Claude and enhanced its capabilities for biological research.

Beyond OpenAI and Anthropic, startups such as Abridge and Sword Health have attracted multibillion-dollar valuations as investor interest in AI-powered medical tools continues to surge.

Winning the Race

The failures of healthcare products, launched by Google and Microsoft in the pre-generative AI era, serve as cautionary lessons for today’s AI leaders, particularly regarding privacy concerns.

In 2008, Google launched Google Health, a personal health record (PHR) service that allowed users to upload, store, manage and share their medical information, such as health conditions, medications and allergies. However, it was shut down in 2012 due to poor adoption. Microsoft’s HealthVault, another PHR platform focused on privacy and control from 2007, which allowed users to store and manage health information from various sources, met a similar fate. It was discontinued in 2019 after years of low engagement.

“Between Anthropic and OpenAI, the more effective tool will be the one that combines strong reasoning capabilities with rigorous safeguards, clinical validation and deep integration into existing healthcare workflows,” Jaspreet Bindra, co-founder of AI&Beyond, told AIM. “Accuracy, explainability and trust matter far more than speed or novelty in this space.”

OpenAI’s push into healthcare comes as it reveals that health and wellness are already one of ChatGPT’s most common use cases, with over 230 million people worldwide asking health-related questions.

Google’s recent experience highlights the risks of moving too fast. Its AI Overviews feature, launched in May 2024, faced widespread backlash after delivering inaccurate—and in some cases dangerous—health advice. Errors included suggesting users add non-toxic glue to pizza or eat “at least one small rock a day” for minerals. Health experts flagged instances of the medical guidance as “completely incorrect” or “very dangerous”. Google later restricted health-related triggers and refined its systems to avoid satirical or unreliable sources.

“These errors highlight a broader challenge with deploying generative AI at internet scale without sufficient domain-specific checks,” Bindra said. “In healthcare, especially, companies must slow down, strengthen validation layers, and be transparent about uncertainty and source reliability. The next phase of AI adoption won’t be about who launches first, but who earns trust–particularly when human lives are involved.”

Arsh Goyal, an AI and engineering expert, agrees. “The rush among the Silicon Valley giants to make it big in healthcare is also because whoever earns trust in healthcare essentially earns trust everywhere. The race is more about credibility than speed. With regulatory conversations picking up globally, the time seems to be ripe for them to venture into healthcare.”

Can Bharat’s Own Health Bot Help?

In India, IPO-bound Fractal launched Vaidya AI in 2024—a health assistant now available in beta as the “Vaidya–AI Health Advisor” app on the Google Play Store. Among the early multimodal AI tools in the medical domain, Vaidya.ai has received largely positive feedback from users and the tech community, particularly on LinkedIn and app platforms. Users cite ease of use, security, and the ability to get quick, helpful responses as key strengths.

Fractal has consistently positioned Vaidya.ai as a health companion rather than a diagnostic tool, with a full public release expected soon.

In a country where preventive healthcare often takes a back seat, can AI chatbots meaningfully shift behaviour? Dr Manav Suryavanshi, HOD of urology and section in-charge of uro oncology and robotic surgery at Amrita Hospital, believes they can, but within limits.

“AI tools are outstanding for explaining medical reports in plain language, listing possible causes of symptoms, summarising treatment options, checking drug interactions, preparing you for a doctor’s visit and helping doctors not miss rare possibilities,” he told AIM. Dr Suryavanshi agrees that while AI would become a permanent part of medicine, it must never be used as a diagnostic tool.

“For patients, the safest model is: AI for understanding. Doctors for decisions,” he cautioned.

Agreeing with Dr Suryavanshi, Dr Kingshuk Ganguly, an orthopaedic and joint replacement surgeon in Mumbai, underlined how respecting boundaries while using any AI healthcare tool is critical.

“AI is evolving rapidly and can be a useful adjunct to conventional medical care,” he said. “It can quickly give patients an overview of available treatment modalities. However, AI still struggles to understand human emotions and interactions, which is where a good clinician remains indispensable.” He also pointed to AI’s growing role in imaging technologies such as MRI, X-rays and CT scans.

As OpenAI and Anthropic position their tools as trusted allies to healthcare professionals, focused on reducing administrative burden and improving efficiency rather than delivering personalised diagnoses, the obvious question remains: what comes next? Gemini Health, DeepSeek Health or something else entirely?

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HCLTech’s Advanced AI Revenue Jumps to $146 Million in Q3

HCLTechHCLTech

HCLTech’s Advanced AI business became a real growth engine in Q3, with segment revenue jumping to $146 million as enterprises moved from pilots to paid deployments.

The company said Advanced AI revenue grew 19.9% quarter on quarter in constant currency during Q3 FY26.

Just one quarter earlier, the figure had touched $100 million for the first time. In a single reporting cycle, HCLTech added close to $50 million in incremental AI revenue.

This surge in AI income came alongside a solid quarter for the company.

HCLTech reported revenue of ₹33,872 crore, up 6% sequentially and 13.3% year on year. In dollar terms, revenue stood at $3.79 billion, with a 4.2% sequential constant-currency growth.

What stood out in Q3 was how much of that growth was being driven by AI-heavy work. HCLTech said services revenue in constant currency grew 1.8% sequentially, led by a nearly 20% quarter-on-quarter jump in advanced AI services.

Digital services, which include much of the company’s AI-led work, grew 17.7% year-on-year and now account for 43.2% of services revenue. HCLSoftware also returned to growth, with constant-currency revenue up 3.1% year-on-year and annual recurring revenue of $1.07 billion.

Profitability remained resilient even as HCLTech continued to invest and restructure. EBIT rose to ₹6,285 crore, or 18.6% of revenue, despite an 81 basis point hit from restructuring costs.

CEO C Vijayakumar said the quarter reflected the strength of HCLTech’s advanced AI strategy. “The performance is underpinned by our AA vision and offerings, which are really founded on a deep engineering pedigree and our unwavering commitment to creating value for our clients,” he said, adding that AI-powered solutions across physical AI, AI factories, and application modernisation were driving growth.

The bookings engine also shows the same shift. New deal wins rose to $3 billion in Q3, up 17% sequentially and 43.5% year-on-year, with management indicating that AI-heavy transformation deals are now a key driver.

HCLTech’s headcount fell for a second straight quarter in Q3 FY26, even as the company added nearly three thousand freshers.

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