TCS Makes Second Cloud Acquisition in Three Months

IT services major TCS has strengthened its push into cloud and AI services by acquiring Coastal Cloud for $700 million.

This is TCS’s second cloud-related acquisition in just three months. Once the deal is completed, TCS will merge Coastal Cloud with ListEngage MidCo, which it bought in October for $72.8 million.

Coastal Cloud, a Salesforce Ventures portfolio company, brings strong data and AI capabilities. It specializes in integrating platforms such as Agentforce, Salesforce Data Cloud, Snowflake, MuleSoft, and Tableau.

The Florida-based firm has around 400 employees and reported revenue of $132 million for the financial year ended December 2024. Most of its workforce holds Salesforce certifications.

With these two acquisitions, TCS said it now ranks among the top five Salesforce advisory and consulting firms globally.

Founded in 2012, Coastal Cloud will see its senior leadership join ListEngage, TCS’s US subsidiary.

“This acquisition is another major step toward TCS’s vision of becoming the world’s largest AI-led technology services company,” said TCS COO Aarthi Subramanian.

TCS has made its ambitions clear. During an analyst call in October, the company said it plans to tap the surge in AI demand and announced plans to build a 1-gigawatt data center to support that push.