Wipro Limited announced on December 4, 2025 that it had closed its $375 million purchase of HARMAN’s Digital Transformation Solutions (DTS) business unit, a deal that was finalized on December 2. The DTS unit, which employs more than 5,600 professionals, will be integrated into Wipro’s Engineering Global Business Line and will bring a portfolio of automotive and connected‑technology solutions to the company’s existing IT services offering.
The acquisition is a key element of Wipro’s strategy to deepen its engineering‑led, AI‑powered services. By adding DTS’s product‑engineering expertise and industry‑specific solutions, Wipro aims to accelerate digital transformation for automotive and lifestyle technology customers, and to create new cross‑sell opportunities across its global client base. The deal also positions Wipro to compete more aggressively in high‑growth sectors where AI and advanced engineering are becoming core differentiators.
Srikumar Rao, Wipro’s Managing Partner and Global Head of Engineering, said the transaction “evolves our engineering DNA” and will “strengthen our ability to deliver AI‑powered, end‑to‑end engineering services.” Vikas Gupta, Executive Vice President of DTS, added that the integration will “open a new phase of growth and opportunity” for the unit, while CEO Srini Pallia highlighted that the combined capabilities will “accelerate digital innovation, reduce time‑to‑market, and sharpen competitive advantage.”
Financially, the acquisition adds $375 million to Wipro’s balance sheet and is expected to contribute to revenue growth over the next two years. In the most recent quarter, Wipro reported revenue of ₹223.2 billion, up 0.5% YoY, and net income of ₹33.5 billion, a 24.5% increase. The company’s IT services operating margin rose to 17.5%, the highest in three years, reflecting the impact of higher‑margin engineering work and disciplined cost management. The DTS integration is expected to further lift margins by leveraging its advanced AI and engineering platforms.
Market reaction to the announcement has been mixed. While some analysts have raised their target prices in light of the expanded capabilities, others have cautioned that near‑term margin pressure could arise from integration costs. The deal is viewed as a long‑term strategic win that could drive revenue growth, but investors are monitoring the company’s ability to execute the integration without eroding profitability.
Overall, the acquisition positions Wipro to capture a larger share of the automotive and connected‑technology markets, strengthens its AI and engineering portfolio, and sets the stage for future cross‑sell opportunities. The transaction aligns with Wipro’s broader shift toward high‑margin, technology‑driven services and signals management’s confidence in the company’s ability to scale new capabilities while maintaining disciplined cost control.
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