Wipro to acquire Harman’s Digital Transformation Solutions unit in multi-year deal

Bengaluru-based Wipro Limited on Thursday (August 21) announced a major acquisition, revealing that it will acquire the Digital Transformation Solutions (DTS) business unit of Harman International, a wholly owned subsidiary of Samsung.

This strategic move is aimed at strengthening Wipro’s engineering research and development (ER&D) portfolio, enabling the company to deliver next-generation digital engineering solutions globally.

The deal, however, is subject to regulatory approvals and is expected to close by December 31, 2025, according to Wipro’s official stock exchange filing.

Transition of 5,600 employees across geographies

As part of the acquisition, more than 5,600 DTS employees, including senior leadership, will move to Wipro. These employees are spread across the Americas, Europe, and Asia, which will significantly expand Wipro’s global workforce and strengthen its presence in strategic markets and high-growth sectors.

Multi-year strategic agreement with Harman and Samsung

Under this deal, Wipro will also sign a multi-year strategic partnership with Harman and Samsung to jointly pursue growth opportunities and co-develop advanced digital technologies. Once the acquisition is finalized, DTS will become an integral part of Wipro’s Engineering Global Business Line.

Leadership statements

Srini Pallia, CEO and MD of Wipro, said:

“Their specialised engineering expertise, combined with Wipro’s consulting-led, AI-powered capabilities, will significantly enhance the value we deliver to clients. DTS’ strong presence in high-growth sectors and strategic markets complements our global footprint and strengthens our position as a trusted transformation partner. Together, we’ll accelerate digital innovation, reduce time to market, and sharpen competitive advantage.”

Harman CEO Christian Sobottka commented:

“As part of Wipro, DTS will have the complementary capabilities and ecosystem needed to expand its impact and accelerate the value it delivers to customers.”

How DTS strengthens Wipro’s digital play

DTS has built a reputation for combining deep engineering capabilities with AI-native platforms, domain expertise, proprietary accelerators, and autonomous agent frameworks. This approach enables large-scale digital transformation designed around people-first technology.

By integrating DTS’ expertise, Wipro will sharpen its focus on AI-driven solutions, positioning itself strongly in the global digital engineering and ER&D market — a sector projected to grow rapidly, fueled by demand in automotive, healthcare, telecom, and consumer electronics industries.

Financial advisory and deal details

Deutsche Bank Securities acted as the financial advisor to Harman for this transaction. The financial terms of the deal were not disclosed publicly.

Wipro Q1 FY26 performance highlights

Alongside this acquisition update, Wipro’s Q1 FY26 (June quarter) performance was also in focus:

• Revenue in constant currency terms declined 2% sequentially, aligning with expectations and guidance range of -3.5% to -1.5%.

• Operating margins improved to 17.5%, showing efficiency gains.

• Total bookings surged 24.1% from the last quarter, touching $4,971 million.

• On August 21, shares of Wipro closed nearly flat on the BSE at ₹249.9, down 0.3%.

Market impact and industry outlook

The acquisition of DTS comes at a time when global IT service providers are shifting focus from traditional outsourcing to AI-led engineering and digital product innovation. With over 5,600 specialized engineers transitioning, Wipro is expected to scale its ER&D business and accelerate AI-native product development.

Industry experts suggest that the Wipro-Harman-Samsung partnership could lead to co-creation of cutting-edge technologies in areas such as connected devices, autonomous systems, and cloud-based platforms, giving Wipro an edge in high-growth global markets.