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In today's newsletter:

• Ola Electric's new strategy: From aggressive growth to profit mode
• India wants to know your AI recipe
• TCS CEO: Uncertainty won't last, confident FY26 will improve

Also: History was made at this year’s Wimbledon, the oldest and arguably most prestigious tennis tournament. Scroll below for more deets!

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From blitzscaling to balance, Ola Electric CEO Bhavish Aggarwal is recalibrating his playbook, trading hypergrowth for a sharper focus on profitability.

Ola Electric is shifting gears as the Indian EV market matures, focusing on profitability and scale instead of rapid expansion. 

“We have transitioned our strategy from aggressive penetration to a more balanced, profitable growth strategy…as India’s EV market moves from breakneck expansion to consolidation,” Aggarwal said during the Q1 FY26 earnings call. 

Ola Electric’s auto business turned EBITDA-positive in June, driven by cost reductions under Project Lakshya and stronger margins from the Gen3 platform, which now accounts for 80% of sales.

The electric vehicle maker narrowed its consolidated net loss to Rs 428 crore in Q1 FY26 from Rs 870 crore in the previous quarter, though losses widened year-on-year (YoY). Gross margins have improved significantly, even without subsidies. 

• However, on an YoY basis, revenue for the quarter fell to Rs 828 crore, marking a 49.6% decline from Rs 1,644 crore.

Ola Electric expects its auto segment to be free cash flow positive by FY26-end and is ramping up its Cell Giga Factory capacity from 1.4 GWh to 5 GWh, with delivery of its first 4680 cell vehicles planned for Navratri.

Even as Ola Electric’s shares rose 17% on growth optimism, the company is navigating headwinds. 

• It is in talks with bankers to raise Rs 1,000–1,200 crore in private credit to refinance existing loans, its second funding move since going public in August 2024.

Regulatory pressure has also intensified, with the Maharashtra Transport Department reportedly ordering the shutdown of 388 Ola Electric Mobility outlets, accounting for around 90% of its presence in the state, over missing vehicle storage permits. 

• This move could impact sales in the next quarter if the issue persists for a longer duration, experts say.

Despite challenges, Aggarwal remains bullish: “Our long-term edge lies in integrated manufacturing, in-house tech, and a direct-to-customer channel. This is compounding our advantage across every part of the business,” he said. 

Read More

India wants to know what’s cooking inside your AI and they have a detailed list of requirements.

India’s cybersecurity agency, CERT-In, has made it mandatory for all AI systems used in government, PSUs, and essential services to include an AI Bill of Materials (AIBOM), a comprehensive record of the system’s inner workings.

• The AIBOM must detail ingredients such as model version, training datasets, known vulnerabilities, and environmental impact among others.

CERT-In's July 9 directive is part of updated technical guidelines on software and digital infrastructure security.

• Developers must automate and maintain live documentation of AIBOMs throughout the AI system's lifecycle.

• It applies to all AI tools used in public sector settings, regardless of risk level.

“It appears that CERT-In's objective with these guidelines is to have businesses automate the AIBOM generation process and ensure exhaustive documentation,” said Sarmad S Ahmad of Ikigai Law.

But this, he added, could be “tedious and will require businesses to invest time and resources.”

Jameela Sahiba, Associate Director at The Dialogue, flagged broader concerns:

• Transparency may be limited for proprietary or third-party models
• The mandate could inhibit open-source innovation
• No differentiation between high- and low-risk AI systems

The impact, positive or otherwise, will depend on how CERT-In supports developers in complying, and whether the policy evolves to account for AI’s varied risk spectrum.

Go deeper

K Krithivasan, CEO and MD of the country’s largest software exporter Tata Consultancy Services (TCS) is not losing hopes, despite its lacklustre Q1 performance. 

“The uncertainty cannot last long. The clarity should emerge and spend should come back,” Krithivasan tells us in an interview. 

TCS reported a 3.3% YoY decline in revenue on a constant currency basis, largely due to the conclusion of its Rs 15,000 crore BSNL deal. However, Krithivasan believes brighter days are ahead.

• The IT firm's FY26 international business revenue will be better than FY25, he said.

India’s growing demand for sovereign cloud and artificial intelligence, recovery in international revenues, and diversification into emerging markets are fueling Krithivasan's optimism

• TCS launched its suite of sovereign cloud, AI and cybersecurity offering in Q1

•  The CEO is betting on structural digital investments — like India’s AI Mission — to spur tech spending.

Krithivasan also didn't shy away from acknowledging the challenges that TCS is facing at present.

• He noted delays in deal closures and decision-making in Q1, amid macroeconomic uncertainties driven by  geopolitical and trade tensions.

• While technology services have remained resilient, areas such as retail, consumer business, manufacturing and auto are expected to face challenges, with their fate hinging on the outcome of Trump-era tariffs.

Dig deeper

• WindBorne hopes to usher in a golden age of weather forecasting with the help of artificial intelligence. The startup uses low-cost, long-duration weather balloons to gather detailed data, giving it a competitive edge in predictive accuracy. Read more.

• OpenAI has delayed the release of its open model once again to run additional safety tests and review high-risk areas. Read more. 

A new chapter begins in men's tennis at Wimbledon, the sport's most prestigious competition.

23-year-old Italian Jannik Sinner dethroned two-time defending champion Carlos Alcaraz 4-6,6-4,6-4,6-4 in an electrifying men's singles final yesterday. 

• With this win, Sinner not only ended Alcaraz's incredible 24-match winning streak, but also became the first Italian to win the singles title in Wimbledon's 148-year history. 

This was also the first Wimbledon men's Final since 2002 that didn't feature any of the sport's Big Four players - Roger Federer, Rafael Nadal, Novak Djokovic, and Andy Murray. 

Watch the winning moment

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