Core Insights - CGI Federal Inc. has launched the CGI Fraud, Waste and Abuse (FWA) Prevention Platform, now available on the U.S. General Services Administration's FM QSMO Marketplace, aimed at enhancing federal agencies' capabilities to combat fraud [1][4] Company Overview - CGI Federal Inc. is a wholly-owned U.S. subsidiary of CGI Inc., providing technology and professional services to federal agencies across various sectors, including defense, healthcare, and intelligence, with a workforce of nearly 8,000 professionals [5] Platform Features - The CGI FWA Prevention Platform, developed in collaboration with TrackLight Inc. and hosted on Amazon Web Services (AWS), integrates real-time risk detection, advanced analytics, and AI to help federal agencies identify and mitigate fraudulent activities early [2][3] - The platform utilizes third-party data and open-source intelligence to conduct comprehensive risk assessments before payments are made, enabling agencies to prevent fraudulent transactions [3] - It offers an end-to-end solution compatible with any agency's core financial systems, employing AI-backed automation to efficiently identify and resolve risks while maintaining an auditable record of decisions [3] Marketplace Significance - The FM QSMO Marketplace serves as a centralized hub for modern solutions and services, promoting compliance with federal policies and standardizing financial systems across government agencies [4] - The inclusion of the CGI FWA Prevention Platform in the Marketplace simplifies access for federal clients seeking effective tools for fraud prevention and modernization [4][5] Industry Context - The prevention of fraud, waste, and abuse is a critical priority for the federal government, underscoring the importance of reliable solutions like the CGI FWA Prevention Platform in achieving shared services goals [5]

We recently published 10 Big Names Delivering Outsized Gains. Infosys Ltd. (NYSE:INFY) was one of the top performers on Wednesday. Infosys snapped a four-day losing streak on Wednesday, jumping 10.45 percent to close at $19.35 apiece as investors took heart from a higher revenue outlook and an investment firm’s price target upgrade for its stock. In its earnings call during the day, Infosys Ltd. (NYSE:INFY) raised its revenue guidance  for the full fiscal year 2026 to a range of 3 to 3.5 percent, as well ...

Core Insights - Business leaders are becoming more pragmatic about AI strategies, focusing on governance, skills, accountability, and human-AI interaction to maximize AI's transformative potential [1][5] AI Adoption and Investment - 38% of organizations have operationalized generative AI use cases, with 60% exploring agentic AI applications; Chinese organizations lead in piloting agentic AI [2] - Two-thirds of business leaders believe failing to scale AI quickly could result in missed strategic opportunities and loss of competitive edge [2] Measuring AI Success - Success metrics for AI are evolving beyond operational efficiency and cost reduction to include revenue growth, risk management, compliance, knowledge management, and customer experience [3] - Over half of organizations prioritize data sovereignty to maintain control over sensitive data [3] Future AI Investments - Organizations plan to increase AI investments, focusing on high-impact areas and reallocating resources from lower-value projects; expected allocation for AI initiatives will rise from 3% in 2025 to 5% in 2026 [4] - Key focus areas include infrastructure, data governance, and workforce upskilling to support AI adoption [4] AI in Decision-Making - More than half of CXOs currently use AI to support strategic decision-making, with expectations for this to double in the next three years; current uses include emails, meeting notes, and research [6][7] - Early adopters report reduced decision-making time and costs, as well as enhanced creativity and foresight [7] Trust and Concerns in AI Usage - Only 41% of CEOs, CFOs, and COOs express above-average trust in AI for decision-making, with concerns about legal risks and the explainability of AI-influenced decisions [9] - A significant number of senior leaders are hesitant to publicly disclose their use of AI due to reputational risks [9]

Cognizant's study shows AI is accelerating faster than projected, with 93% of jobs potentially affected today Findings also point to the limits of AI's impact, with skilling and human judgment playing a critical role in how organizations capture AI's full value TEANECK, N.J., Jan. 15, 2026 /PRNewswire/ -- Cognizant today announced the release of "New Work, New World 2026," providing fresh analysis on how artificial intelligence (AI) will impact work and jobs. Building on the original report's release in 202 ...

Summary of 4Q25 CIO Survey – Key Points Industry Overview - The survey focuses on the **US Tech** industry, particularly the **IT budget outlook** for 2026, highlighting trends in **Software**, **Communications**, **Hardware**, and **IT Services** sectors [2][40]. Core Insights 1. **IT Budget Growth Expectations**: - IT budget growth is expected to moderate from **+3.5% in 2025 to +3.4% in 2026**, a decline of **8 basis points** [2][40]. - Sequentially, the growth expectation for 2026 deteriorated from **+3.8% YoY** in the previous quarter [2][40]. 2. **Sector-Specific Trends**: - **Software**: Expected to see a modest acceleration in growth to **+3.8%** in 2026, up **9 basis points YoY** [2][40]. - **Communications**: Growth is expected to decelerate to **+2.2%**, down **27 basis points YoY** [2][40]. - **Hardware**: Anticipated growth is only **+1.0%**, a significant drop of **58 basis points YoY** [2][40]. - **IT Services**: Expected to grow by **+2.0%**, a slight decrease of **3 basis points YoY** [2][40]. 3. **Regional Insights**: - US CIOs expect budget growth of **+3.5%**, while EU counterparts anticipate **+3.1%**, indicating a narrowing gap between the two regions [2][40]. 4. **CIO Sentiment**: - The **1-year up-to-down ratio** for budget revisions fell to **0.5x**, indicating a more cautious outlook among CIOs [2][40]. - The percentage of CIOs expecting budget increases dropped to **17%**, while those expecting decreases rose to **36%** [2][40]. 5. **AI and IT Spending**: - **Artificial Intelligence** remains the top priority for CIOs, with **68%** planning to engage service providers for AI projects [40]. - **81%** of CIOs expect to have GenAI-based workloads in production by the end of 2026, up from **79%** in the previous quarter [40][37]. Additional Insights 1. **Hiring Expectations**: - **33%** of CIOs expect overall hiring to decrease in 2026, while **18%** expect an increase, reflecting a cautious hiring outlook [6][40]. - **63%** of CIOs believe AI-related IT spending will impact hiring plans, with a significant portion expecting hiring to decrease [6][40]. 2. **K-Shaped IT Budget**: - CIOs may be reallocating budgets from less strategic areas to prioritize AI-related investments, indicating a shift in spending dynamics [6][40]. 3. **Vendor Insights**: - Microsoft, Google, and Amazon are expected to gain the largest incremental share of GenAI spend in 2026, with Microsoft leading at **35%** [8][11][40]. - The survey indicates a trend towards consolidating IT spending with fewer vendors, particularly in software [6][40]. 4. **Concerns Over Hardware Spending**: - Hardware budgets are projected to grow at the slowest rate since 2009, raising concerns about potential demand destruction in the sector [18][40]. 5. **Long-Term Outlook**: - CIOs' confidence in the long-term spending environment has moderated, with only **38%** expecting IT spending as a percentage of revenue to increase over the next three years [40]. Conclusion The 4Q25 CIO Survey indicates a cautious outlook for IT budgets in 2026, with sector-specific deceleration, particularly in Hardware and Communications. Despite the excitement surrounding AI, the anticipated growth in IT budgets does not fully align with expectations, suggesting a need for strategic reallocations and a focus on consolidating vendor relationships.

Summary of IT Services Industry Conference Call Industry Overview - The conference call focused on the IT Services industry in North America, specifically discussing the 4Q25 CIO Survey results and expectations for 2026 budget growth in IT Services. Key Points 1. Budget Growth Expectations - IT Services budget growth for 2026 is expected to decelerate to **+2.0% y/y**, down from **+2.5%** in the previous quarter (3Q25) [1][3][9] - The 2025 budget growth expectations also decreased by **28 basis points** to **+2.0% y/y** from **+2.3%** [3][9] 2. Regional Insights - US CIOs anticipate a modest deceleration in IT Services spending, expecting growth of **+2.1%**, down from **+2.8%** in 3Q25 [9][17] - Conversely, EU CIOs expect a slight acceleration in spending intentions to **+1.9% y/y**, up from **+1.7%** [9][17] 3. Discounting and Competitive Environment - Willingness to discount services remains stable, with **30%** of respondents indicating Cognizant (CTSH) and **23%** for Accenture (ACN) showing readiness to discount [3][9] - A competitive pricing environment persists, with **54%** of respondents consolidating vendor relationships, consistent with previous surveys [9][60] 4. AI and Technology Priorities - Artificial Intelligence (AI) is the top priority for CIOs, with **68%** intending to engage a service provider for AI projects, a significant increase from **57%** in 2Q25 [4][10][59] - Security and Cloud Computing follow as the second and third priorities, with **58%** and **49%** of respondents respectively planning to engage service providers [10][59] 5. Spending Categories - Consulting and Systems Integration are leading spending categories, with **53%** of respondents expecting to increase spending in these areas over the next twelve months [9][38] - The interest in Generative AI is primarily in the proof-of-concept stage, indicating a gradual adoption process [4] 6. Project Delays and Macroeconomic Concerns - **42%** of respondents reported delays in IT Services-related projects due to macroeconomic concerns, slightly up from **40%** in 2Q25 [28][30] - Talent shortages are impacting service levels, with **50%** of CIOs indicating increased lead times from IT Services providers [33][35] 7. Vendor Consolidation and Market Positioning - ACN and TCS are identified as the largest share gainers in vendor consolidation, benefiting from their broad service offerings [60][67] - Wipro's spending intentions appear muted, with expectations of a marginal reduction in spend [73] 8. Risks and Market Sentiment - The overall corporate sentiment around IT Services spending is balanced, with **5%** of companies expecting to underspend and **28%** expecting to overspend, consistent with pre-pandemic levels [31] - Risks include potential recession impacts, talent shortages, and the ability to deliver contracted work [77][78] Conclusion - The IT Services industry is experiencing a slight deceleration in budget growth expectations for 2026, influenced by macroeconomic factors and competitive pricing pressures. AI remains a key focus area, with significant interest in consulting and systems integration services. The market sentiment is cautiously optimistic, with ongoing vendor consolidation shaping the competitive landscape.

It posted sequential revenue growth of 0.6% and year-on-year growth of 1.7% in constant currency terms. In dollar terms, revenues rose 0.5% sequentially and 3.2% year-on-year to $5 billion.TCS reported a 0.8% rise in revenue in constant currency terms but posted a 2.6% year-on-year decline. In contrast, HCLTech recorded stronger growth, with an increase of 4.2% quarter-on-quarter and 4.8% year-on-year. Infosys revised its revenue growth guidance for FY26 to 3%–3.5%, indicating improving visibility on demand ...

Core Insights - FPT has been recognized as a Major Contender in the Everest Group Banking IT Services PEAK Matrix® Assessment 2025, marking its first appearance in this industry benchmark [1] Group 1: Company Positioning - The assessment evaluated 41 providers in the banking IT services sector [1] - Providers are categorized into Leaders, Major Contenders, Aspirants, and Star Performers based on their capabilities [1] Group 2: Evaluation Criteria - The evaluation criteria include the ability to support modernization, adopt agentic AI in a responsible and scalable manner, and assist banks [1]

Core Insights - The U.S. Court of Appeals for the Fifth Circuit upheld a $194 million award to DXC's subsidiary, CSC, for trade secret misappropriation by Tata Consultancy Services (TCS) [1][2] - The court affirmed that TCS acted willfully and maliciously in misappropriating CSC's trade secrets, with over $100 million awarded in punitive damages due to TCS's repeated deceitful actions [2] Company Commitment - DXC Technology emphasizes its commitment to responsible innovation, ethical conduct, and the protection of intellectual property as fundamental to its operations [3] - The ruling is seen as a validation of DXC's six-year pursuit of legal action to protect its intellectual property, which is crucial for maintaining customer trust [2][3] Leadership Perspective - CEO Raul Fernandez stated that trust, ethics, and responsible innovation are core principles guiding DXC's operations, highlighting the importance of safeguarding mission-critical systems for clients [3] - The company aims to ensure that innovation is deployed responsibly, thereby strengthening customer trust and driving long-term business outcomes [3] Company Overview - DXC Technology is a leading enterprise technology partner that provides software, services, and solutions to global enterprises and public sector organizations, focusing on AI and modernization [4] - The company specializes in Managed Infrastructure Services, Application Modernization, and Industry-Specific Software Solutions, operating complex technology estates [4]

Core Insights - Coastal has been acquired by Tata Consultancy Services (TCS), enhancing its capabilities in Salesforce and data-led transformation on a global scale [1][2] - The acquisition allows Coastal to maintain its culture and customer-first approach while leveraging TCS's resources and expertise [2][4] Company Overview - Coastal, formerly known as Coastal Cloud, is a leading consultancy specializing in Salesforce, data, and AI, founded in 2012 [2][6] - The company has a team of over 600 professionals in North America, holding 3,091 certifications, including 442 in Agentforce, AI, and Snowflake [3] - Coastal has a five-star customer satisfaction rating on AppExchange and serves 1,700 customers [5][6] TCS Overview - Tata Consultancy Services (TCS) is a global leader in IT services and digital transformation, operating in 46 countries [1][7] - TCS generated consolidated revenues exceeding US $30 billion for the fiscal year ending March 31, 2025 [9] - The company has a workforce spread across 55 countries and 202 service delivery centers, recognized as a top employer on six continents [8]