Tata Communications acquires 51% stake in US-based AI platform Commotion

Mumbai (Maharashtra) [India], December 2 : Tata Communications on Tuesday announced it has acquired a 51 per cent stake in Commotion Inc., a US-based AI-native enterprise SaaS company, in a strategic move to strengthen its AI-led customer experience and digital transformation capabilities.

The deal, executed through its wholly owned subsidiary Tata Communications (Netherlands) B.V., was completed on December 1.

The acquisition, valued at approximately USD 25.5 million (Rs 227 crore), includes both the purchase of shares from existing investors and fresh capital infusion into the company.

The transaction is fully cash-based and does not qualify as a related-party arrangement, the company informed stock exchanges in a filing on Tuesday.

Commotion Inc., incorporated in 2022, builds AI-powered solutions that enable enterprises to automate and personalize real-time customer engagement across digital channels.

Its platform integrates Voice AI, omnichannel CX automation, and autonomous digital agents, supporting both customer-facing operations and internal enterprise workflows.

Commotion Inc had a revenue of USD 118,750 for the year ended December 31, 2024.

A.S. Lakshminarayanan, MD and CEO, Tata Communications, said: "This acquisition marks a significant step in our journey to redefine customer experience in the AI era. With Commotion's capabilities already integrated into Tata Communications Kaleyra, we are seeing phenomenal customer traction. We expect this momentum to further accelerate our evolution into an AI-first organisation, making our Digital Fabric more intelligent, adaptive, and future ready."

B. Murali Swaminathan, CEO, Commotion Inc., added: "We are thrilled to announce this significant milestone in our journey. This isn't just about capital. It's about conviction, shared purpose, and the power of combining our innovation velocity with Tata Communications' global reach, trusted brand and digital expertise. Together, we will unlock AI's full potential in many industry sectors, building solutions that scale responsibly and transform the way the world works. The future isn't just coming - it's here, and it's global."

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