Business

TCS to buy Salesforce consultancy Coastal Cloud for $700 million

Article cover image

TCS will acquire US-based Coastal Cloud for $700 million, expanding its Salesforce and AI-led consulting capabilities in one of its largest-ever deals.

Tata Consultancy Services has agreed to acquire US-based Coastal Cloud for $700 million in cash, one of the largest deals in the company’s history, as it seeks to deepen its capabilities in Salesforce consulting and AI-led transformation services.


TCS said the purchase will give it full ownership of the firm, a Salesforce Summit partner known for multi-cloud advisory work across sales, service and marketing transformation. Bloomberg News reported that the deal forms part of TCS’s effort to scale consulting-led engagements and strengthen its position in fast-growing cloud ecosystems.


Founded in 2012, Coastal Cloud specialises in enterprise-scale digital projects and brings more than 400 Salesforce professionals with over 3,000 multi-cloud certifications. The company has also held positions on the Salesforce Partner Advisory Board, giving it early insight into product developments. It is led by Eric Berridge, a long-time Salesforce services executive.


The acquisition adds to a series of moves by TCS to consolidate its Salesforce practice. In October, the company bought ListEngage, another Summit partner with strengths in Agentforce, Marketing Cloud and Commerce Cloud. Together, the two acquisitions will place TCS among the world’s top five Salesforce advisory firms, according to industry analysts cited by local media.


Aarthi Subramanian, TCS’s chief operating officer, said the deal was a “pivotal milestone” in advancing the company’s global Salesforce capabilities and accelerating its AI-led consulting agenda. She added that the integration of Coastal Cloud’s specialists would enhance TCS’s advisory strength and expand its data and AI offerings across industries.


Coastal Cloud reported consolidated revenue of $132 million for the year ended December 2024, and $141 million for the 12 months to September 2025. Its customer base spans multiple sectors, giving TCS access to a broader mid-market portfolio. Executives said they expect significant cross-selling potential between the two firms.


Berridge said joining TCS would allow Coastal Cloud to support customers “with greater depth, speed and scale,” adding that the combination of TCS’s global footprint and advanced AI capabilities would benefit clients pursuing complex multi-cloud transformations.


The deal underscores TCS’s strategy to position itself as a leading AI-led services provider amid rising demand for cloud modernisation and customer experience transformation. Investors will be watching how quickly the company can integrate the new teams and deliver the synergies it has outlined.

Topics

Loading...

Loading...