DXC Technology, the US-based IT services company, announced a turnaround strategy during a media briefing held alongside the opening of a new office in Bengaluru. Despite expecting revenue to decline for the ninth consecutive year in fiscal year 2027, the company is focusing on artificial intelligence (AI), its largest markets, and operational execution to reverse the trend, according to livemint.com.
The company’s management detailed the plan on Tuesday, emphasizing a sharper focus on AI technologies and prioritizing growth in its biggest markets. The briefing coincided with the inauguration of DXC’s new Bengaluru office, signaling a commitment to strengthening its presence in India. The company aims to improve execution and operational efficiency as part of its strategy to stabilize and eventually grow revenue.
DXC’s ongoing revenue decline underscores the challenges faced by legacy IT service providers amid rapid technological shifts and increasing competition. The company’s pivot to AI aligns with broader industry trends where IT firms are integrating AI capabilities to enhance service offerings. This move places DXC alongside peers who are also investing heavily in AI to capture new market opportunities and address evolving client demands.
DXC has guided for a 3-5% revenue decline in fiscal year 2027, marking nearly a decade of consecutive declines. The company’s next quarterly earnings report, expected later this year, will provide further insight into the effectiveness of its turnaround efforts and AI-focused strategy, as reported by livemint.com.