Meta Reduces Wipro Outsourcing by 25% Amid AI Restructuring, Report Says

Meta Platforms has reportedly scaled back its IT outsourcing contract with Wipro by at least 25%, a direct consequence of an internal, AI-driven restructuring that included shutting down its digital marketing division. The move is expected to significantly reduce a key revenue stream for the Indian IT services major, according to a report from Mint.

Financial Impact on Wipro

The reduction in business is projected to lower Wipro's annual revenue from Meta to approximately $75 million, down from about $100 million in fiscal year 2026. The report, which cited two people familiar with the matter, noted that Meta is one of Wipro's 20 largest corporate accounts, making the cut particularly significant for the IT services provider.

AI Strategy Drives Outsourcing Shift

The decision stems from Meta's move to stop outsourcing its digital marketing work. This strategic change is part of a broader corporate initiative to integrate artificial intelligence more deeply into its operations, which has led to the consolidation and elimination of certain internal functions and a re-evaluation of its external vendor relationships.

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Broader Industry Consequences

Wipro is not the only service provider affected by Meta's strategic pivot. The Mint report also identified other major vendors impacted by the social media company's pullback on digital marketing outsourcing, including:

• Concentrix Corporation
• Teleperformance SE
• Accenture Plc

This development suggests a wider trend of large technology firms re-assessing their operational and outsourcing needs as they increasingly adopt AI-driven efficiencies.