Tata Technologies Anticipates Multi-Year Growth from EV and Aerospace Programs, Partners with Synopsys for Software-Defined Vehicle Innovation

2 min read     Updated on 17 Oct 2025, 04:45 PM
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Shriram ShekharScanX News Team
Overview

Tata Technologies and Synopsys have formed a strategic collaboration to accelerate the development of software-defined vehicles (SDVs). The partnership combines Tata Technologies' vehicle engineering expertise with Synopsys' virtualization solutions for electronics digital twins. They have completed a pilot program with a European luxury OEM and are expanding to other major OEMs globally. The collaboration covers key SDV domains and focuses on developing virtual prototypes, simulation models, and embedded systems solutions. Tata Technologies expects multi-year growth driven by global electric vehicle and aerospace programs.

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*this image is generated using AI for illustrative purposes only.

Tata Technologies , a global leader in product engineering and digital services, has announced a strategic collaboration with Synopsys, a prominent provider of electronic design automation solutions. This partnership aims to accelerate the development of software-defined vehicles (SDVs), marking a significant step in the evolution of automotive technology. Additionally, Tata Technologies expects multi-year growth visibility driven by global electric vehicle and aerospace programs.

Key Highlights of the Collaboration

  • Combining Expertise: The partnership brings together Tata Technologies' deep domain knowledge in vehicle engineering with Synopsys' industry-leading virtualization solutions for electronics digital twins (eDTs) deployment.

  • Successful Pilot Program: The companies have completed a pilot engagement with a European luxury OEM, delivering a next-generation E/E architecture migration blueprint.

  • Expanding Reach: Additional pilot programs are currently underway with major OEMs in North America, Europe, and India, showcasing the global appeal of this collaboration.

  • Comprehensive Coverage: The partnership spans major SDV domains, including ADAS, powertrain, chassis, body, central compute, gateways, infotainment, connectivity, and electrification.

Focus Areas and Technologies

The collaboration between Tata Technologies and Synopsys will concentrate on several key areas:

  1. Development of virtual prototypes and simulation models
  2. Creation of electronics digital twins for early software bring-up
  3. Implementation of performance and safety analysis tools
  4. Embedded systems solutions aligned with ISO 26262 and ASPICE standards

Industry Impact and Future Outlook

This strategic partnership comes at a crucial time when the automotive industry is rapidly transitioning towards software-defined, connected, and autonomous vehicles. By combining their respective strengths, Tata Technologies and Synopsys are well-positioned to address the growing complexities in SDV development and help OEMs accelerate their journey towards next-generation mobility solutions.

Tata Technologies anticipates margin expansion through digital engineering and software-defined vehicle platforms. The company's multi-year growth visibility is driven by global electric vehicle and aerospace programs, highlighting the potential for sustained expansion in these sectors.

Sriram Lakshminarayanan, Chief Technology Officer at Tata Technologies, commented on the collaboration: "The digital shift is redefining the future of mobility, and our partnership with Synopsys is a purposeful step towards realizing a future led by software-defined innovations. As OEMs move to new ways of working, there is a growing demand for engineering and digital services. Together, we are empowering OEMs to deliver safer, smarter, and more sustainable vehicles that enhance the human experience and accelerate the industry's transition to a software-defined future."

Tom De Schutter, Senior Vice President, Product Management & Markets Group at Synopsys, added: "The complexity of SDV systems requires a new level of collaboration across the automotive ecosystem. By bringing together our world-class digital twin, verification, and IP platforms with Tata Technologies' engineering expertise and global delivery, we are enabling OEMs to accelerate development, validation and delivery of complex software- and AI-defined vehicles."

As the automotive industry continues to evolve, partnerships like this between Tata Technologies and Synopsys are expected to play a crucial role in shaping the future of mobility, driving innovation, and helping OEMs stay competitive in a rapidly changing landscape.

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Tata Technologies Reports 2.1% YoY Revenue Growth in Q2 FY26

1 min read     Updated on 17 Oct 2025, 04:12 PM
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Ashish ThakurScanX News Team
Overview

Tata Technologies announced Q2 FY26 results with consolidated revenue of ₹1,323.33 crore, up 2.1% YoY, and PAT of ₹165.50 crore, up 5.1% YoY. The company's Services segment generated ₹1,012.82 crore, while Technology Solutions contributed ₹310.51 crore. Half-year consolidated revenue reached ₹2,567.62 crore with PAT at ₹335.78 crore. Dividends totaling ₹11.70 per share were paid out. Tata Technologies plans to acquire Es-Tee GmbH for up to €75 million, enhancing its automotive engineering capabilities. Following Tata Motors' demerger, Tata Motors Passenger Vehicles Ltd will become Tata Technologies' holding company from October 1, 2025.

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*this image is generated using AI for illustrative purposes only.

Tata Technologies , a global engineering and product development digital services company, has announced its financial results for the second quarter of fiscal year 2026, demonstrating solid performance and growth.

Financial Highlights

For the quarter ended September 30, 2025, Tata Technologies reported:

Metric Q2 FY26 Q2 FY25 YoY Change
Consolidated Revenue ₹1,323.33 crore ₹1,296.45 crore 2.1% ↑
Consolidated PAT ₹165.50 crore ₹157.41 crore 5.1% ↑

Segment Performance

The company operates through two main segments:

  1. Services: Generated revenue of ₹1,012.82 crore
  2. Technology Solutions: Contributed ₹310.51 crore to the total revenue

Half-Year Performance

For the half-year period ended September 30, 2025:

  • Consolidated revenue reached ₹2,567.62 crore
  • Profit after tax stood at ₹335.78 crore

Dividend Payout

During the half-year, Tata Technologies paid dividends totaling ₹11.70 per share, resulting in a cash outflow of ₹474.63 crore. This included:

  • A final dividend of ₹8.35 per share
  • A one-time special dividend of ₹3.35 per share

Strategic Developments

Acquisition Plans

On September 13, 2025, Tata Technologies, through its wholly-owned subsidiary Tata Technologies Pte Ltd, Singapore, entered into a definitive agreement to acquire 100% equity shares of Es-Tee GmbH, Germany, and its subsidiaries. The deal, valued at up to €75 million, is expected to close by December 31, 2025, subject to regulatory clearances.

Corporate Restructuring

Following Tata Motors' demerger approval, Tata Motors Passenger Vehicles Ltd (TMPVL) is set to become the holding company of Tata Technologies, effective October 1, 2025.

Management Commentary

Warren Harris, Chief Executive Officer and Managing Director, stated, "Our Q2 results reflect the continued strength of our business model and the growing demand for our engineering and digital services. The planned acquisition of Es-Tee GmbH aligns with our strategy to enhance our capabilities in high-end automotive engineering services, particularly in ADAS, Connected Driving, and Digital Engineering."

Tata Technologies' robust performance in Q2 FY26, coupled with strategic initiatives, positions the company well for future growth in the global engineering and digital services market.

Note: All financial figures are in accordance with Indian Accounting Standards (Ind AS).

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