The remarkable acceleration in the adoption of enterprise-grade Artificial Intelligence solutions has been underscored by HCLTech’s latest financial disclosure, revealing that its Advanced AI revenue surged to $146 million in the third quarter of the fiscal year 2026. This figure represents a robust quarter-over-quarter growth of nearly 20% in constant currency terms, cementing the company's transition from the experimental phase of AI to a tangible monetization period. The performance is particularly noteworthy as it follows immediately on the heels of the preceding quarter, Q2 FY26, when this specialized revenue stream crossed the $100 million threshold for the first time, signaling a rapid expansion in the market for sophisticated, next-generation AI services.[1][2][3]

The growth trajectory is not accidental but is a direct outcome of a clearly defined and executed strategic focus that seeks to differentiate the company’s offerings in a crowded technology services market. HCLTech’s definition of ‘Advanced AI’ is distinct, deliberately excluding traditional data and analytics services, as well as classical AI, to instead concentrate solely on rapidly evolving, high-value technologies such as Generative AI (GenAI), agentic AI, physical AI, and AI engineering.[4] This sharp focus on cutting-edge solutions allows the company to capture value from projects that move beyond basic productivity gains into core business transformation, new capability creation, and revenue uplift for clients. The strategy centers on a "full-stack offering" model that spans the entire AI value chain, from the underlying cognitive infrastructure, including Graphical Processing Units and Central Processing Units, to the development of custom and proprietary AI models, as well as specialized consulting services for accelerated production scale.[5]

This differentiated approach is powered by proprietary intellectual property and platforms designed to embed AI directly into client operations. Key among these offerings are ‘AI Force’ and ‘AI Foundry.’ AI Force is positioned as a GenAI-powered service transformation platform aimed at revitalizing the software engineering and IT operations lifecycle to deliver improved efficiencies and accelerated time-to-market. The platform is designed to be highly interoperable, featuring integrations with industry-leading models and tools from major technology partners, including Microsoft GitHub Copilot, Google Gemini, AWS Anthropic Claude 3, NVIDIA, IBM watsonx, and Meta Llama.[5] In parallel, the AI Foundry acts as the system integration and managed services arm, concentrating on value stream innovation by converging the power of data, AI, and cognitive infrastructure for enterprise applications. This dual-pronged strategy—using AI Force for internal and operational service transformation and AI Foundry for external, value-stream innovation—is resonating strongly with clients seeking to move quickly from proofs-of-concept to scalable, production-ready AI systems. This is further supported by an expanding network of AI and Cloud Native Labs, which serve as experiential and consulting spaces to accelerate client projects from a minimum viable product (MVP) to full production scale.[5][6]

The financial impact of the Advanced AI segment extended far beyond its immediate contribution to the company’s bottom line, serving as a primary catalyst for growth across the broader services portfolio. While the total Services revenue grew at a more modest pace of 1.8% quarter-over-quarter in constant currency, the surge of nearly 20% in Advanced AI services was the identified driver for this overall services momentum.[1][2] This highlights that new client engagements and transformation programs are increasingly being anchored by AI-led mandates. The overall financial results for the quarter, which saw total revenue reach ₹33,872 crore and the company cross $15 billion in annualized revenues, were buoyed by this AI success, even as net profit saw a one-time decline due to specific statutory provisions introduced during the quarter.[1][7][8] The market confidence in HCLTech’s strategy was further reflected in the exceptional new deal wins, with the Total Contract Value (TCV) reaching $3 billion for the quarter, an increase of 17% quarter-over-quarter and a significant 43.5% jump year-over-year, indicating a robust pipeline where AI and digital transformation deals are predominant.[2][8]

Leadership commentary has consistently pointed to this AI growth as a strategic shift. Chairperson Roshni Nadar Malhotra noted that the company is "well positioned" as AI-led transformation brings new opportunities for growth, while CEO and Managing Director C. Vijayakumar framed the performance as transitioning into an "AI monetization phase," driven by growing demand for AI-led propositions across both services and software offerings.[2][9][3] This proactive embrace of AI, even if it entails disrupting existing service models, is seen as crucial for remaining agile and future-ready. The investment is clearly focused on building intellectual property that can accelerate and scale AI adoption across client enterprises, focusing on making the core intelligence layer provided by major tech firms ready for practical, impactful enterprise application.[4]

The strong performance in Advanced AI has significant implications for the global IT services industry, which is grappling with the rapid emergence of Generative AI. HCLTech’s ability to move quickly from pilot projects—the phase many competitors are still navigating—to a revenue-generating, high-growth segment demonstrates a leading position in the enterprise AI adoption curve. This success establishes a new performance benchmark, signaling to the wider market that large-scale AI transformation projects are not only viable but are now generating substantial, measurable returns on investment. This shift also redefines competition, moving the focus away from traditional IT services metrics to the ability to create, integrate, and manage complex, multi-model AI ecosystems. By forging deep partnerships with the entire technology stack—from hardware providers like NVIDIA to model and agentic platform partners—HCLTech is positioning itself as the critical link between foundational AI innovation and tangible business outcomes for clients across various industries, including financial services, manufacturing, and telecommunications.[5][3][10] The $146 million figure, therefore, represents more than a financial achievement; it is a clear statement of market leadership and strategic validation in the fiercely competitive AI transformation domain.