Tatas Acquire Stake In L.A.-Based AI Firm

India-West Staff Reporter

LOS ANGELES, CA – Tata Communications has acquired a 51 per cent stake in the AI-native enterprise SaaS firm Commotion Inc., headquartered here, in a strategic move to bolster its AI-led customer experience and digital transformation offerings. The deal, executed through its wholly owned subsidiary Tata Communications, was completed on December 1 and is valued at approximately $25.5 million.

The transaction includes both a purchase of shares from existing investors and a fresh capital infusion into Commotion and is entirely cash-based, with no related-party involvement, the company said in a filing to stock exchanges.

Commotion, founded in 2022, develops AI-powered solutions that help enterprises automate and personalize real-time customer engagement across digital channels. Its platform integrates Voice AI, omnichannel customer experience automation, and autonomous digital agents, supporting both customer-facing operations and internal workflows. For the year ended December 31, 2024, the company reported revenue of $118,750.

A.S. Lakshminarayanan, MD and CEO of Tata Communications, described the acquisition as “a significant step in our journey to redefine customer experience in the AI era.”

B. Murali Swaminathan, CEO of Commotion Inc., called the acquisition a “significant milestone” for the company. “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,” he said, adding that the collaboration will help unlock AI’s full potential across industries and scale solutions responsibly on a global level.