TCS has emerged victorious in securing the India global capability centre operations contract for US consumer electronics retailer Best Buy, according to reports from The Times of India. The Indian IT services giant outperformed Accenture in the final bidding phase, winning the mandate based on competitive pricing, aggressive service-level agreements (SLAs) and productivity benefits. Wipro was initially part of the shortlist but was not selected for the final contract award. As per The Times of India, Best Buy floated a request for proposal (RFP) for a technology services engagement, and TCS won the mandate based on these key factors.
The five-year contract is estimated to be worth approximately ₹2,000 crore, covering GCC operations and broader technology services including data, analytics and AI capabilities. As reported by The Times of India, Best Buy's India GCC, located in Bengaluru, currently employs around 600 staff members. The deal represents a significant expansion of TCS's existing relationship with the US retailer, which is estimated to generate $75-$100 million in annual revenue according to HFS Research CEO Phil Fersht. The retailer reported revenue of $41.7 billion in fiscal 2026, compared with $41.5 billion a year earlier, with comparable sales rising 0.5%. Computing and mobile phones drove growth, partly offset by declines in home theatre and appliances.
The India centre has become more strategic as Best Buy steps up investments in AI and digital commerce. According to The Times of India, the retailer set up a 70,000-sft technology centre in Bengaluru in 2024 to accelerate its digital transformation, envisaged as an innovation hub spanning digital strategy, product management, design, engineering, infrastructure and operations. Brian Tilzer, then chief digital, analytics and technology officer at Best Buy, had stated in 2024 that "It's our intention to really make the Best Buy India hub the heart of innovation around how we're going to use mobile and AI platforms. We're going to be building and ramping up teams very actively in those areas." Best Buy's annual report identified AI as a key digital priority for fiscal 2027, with the company expanding the use of AI platforms across its digital experience and working with technology platform providers to build a more seamless agentic shopping journey.
According to The Times of India, this win demonstrates Indian IT firms' increasing focus on global capability centre operations. Phil Fersht from HFS Research noted that the bigger story is how work is being divided among major technology providers as Best Buy shifts more of its technology estate towards AI-enabled operations. "TCS appears to have built a substantial position in the account, while Accenture remains strategically relevant, particularly around transformation and generative AI," Fersht stated. For Indian IT firms, the Best Buy deal highlights the changing GCC opportunity, with companies increasingly moving beyond traditional application and infrastructure services to take responsibility for larger parts of clients' technology estates and innovation agendas. The deal would deepen TCS's longstanding relationship with Best Buy, spanning technology services and digital transformation.
