Porsche AG and Tata Consultancy Services Ltd. (TCS) have agreed to a five-year strategic partnership valued at €1.25 billion ($1.5 billion) to integrate artificial intelligence across Porsche’s engineering, manufacturing, operations and customer experience. The deal includes the sale of Porsche’s Germany-based consulting unit, MHP Management- und IT-Beratung GmbH, to TCS for an enterprise value of €320 million.
The transaction is expected to close within three to four months, subject to regulatory approval. Porsche CEO Michael Leiters stated the divestiture of MHP aligns with the company’s strategy to focus on its core automotive business. TCS said the partnership will enhance its European presence and position it as a consulting partner for broader industrial clients.
TCS will acquire MHP, a Porsche subsidiary specializing in management and IT consulting, as part of the arrangement. The collaboration aims to leverage AI to streamline Porsche’s processes and improve efficiency across its operations.
