The US subsidiary of Tata Consultancy Services (TCS) has received incentives worth more than $19 million (Rs 76 crore) for setting up base in Cincinnati in the US. This facility will serve as the North American headquarters of TCS and as a development centre with information technology solution delivery capability, according to the Ohio Department of Development Web site. “This $20-million [Rs 100-crore] project is expected to create 1,000 positions within the first three years of the company’s operations,” the Web site said. However, this could not be verified with TCS. It is learnt that the $19-million tax incentive includes a 90 per cent, eight-year job creation tax credit, valued at more than $15 million.
The US subsidiary, Tata America International Corporation, has spent $13 million for purchasing a 1,96,000-square-foot building at Clermont county in Cincinnati spread out across 222 wooded acres. A company spokesperson said that the Cincinnati facility would be inaugurated on March 17. Ohio state has also awarded TCS a $2.5-million ‘rapid outreach grant’ to help pay for the building and its renovation, which will cost the company $7 million. TCS selected this location for its large pool of highly skilled workers, its excellent access to the other major states in the US, and for the proximity of CincinnatiNorthernKentuckyInternationalAirport, the spokesperson added.
Analysts feel that Cincinnati will enable TCS to provide the same time zone advantage to its American clients. The ClermontCounty site is expected to employ software engineers, pre-sales professionals, and administrative support staff. With this, TCS joins companies such as Cisco, IBM and more than 2,000 business technology firms that have a significant presence in the region.