Global technology services firm HCLTech has expanded its collaboration with SAP to develop and deploy Physical AI solutions that embed intelligence into real-world industrial and enterprise operations.
Announced on November 26, the expanded engagement will see the two companies jointly explore next-generation use cases that apply artificial intelligence to physical environments such as warehouses, fleets and industrial facilities. The initiative is aimed at advancing enterprise AI adoption across sectors including manufacturing, supply chain and logistics.
As part of the collaboration, HCLTech and SAP plan to co-develop AI-driven extensions for warehouse operations, focusing on automated picking and sorting to improve efficiency and accuracy. The companies will also work on scaling multi-agent AI models for fleet management to optimise logistics operations at enterprise scale. Another key area of focus is 3D reality capture, enabling embodied AI use cases that support advanced three-dimensional capture, analysis and real-time operational insights.
Beyond technology development, the two firms will collaborate on joint customer use cases designed to improve productivity, reduce operational complexity and support more informed decision-making in industrial environments.
“Through our strategic partnership with SAP, HCLTech is pioneering the integration of cognitive robotics with enterprise systems, driving a new era of intelligent automation,” said Vijay Guntur, Chief Technology Officer and Head of Ecosystems at HCLTech. He added that the collaboration would help organisations transform operations and derive measurable value from automation at scale.
Dr. Philipp Herzig, Chief Technology Officer at SAP SE, said the partnership represents a step forward in applying AI to real-world business processes. According to him, integrating Physical AI into enterprise workflows will help unlock greater industry-specific value, particularly in manufacturing and supply chain operations, while accelerating the delivery of practical outcomes for customers.
The announcement underscores growing industry interest in Physical AI and embodied intelligence, as enterprises look to move beyond digital automation and embed AI directly into physical processes and environments.
