As AI reshapes the software landscape, Tekion has moved early to redefine its business by transitioning from a traditional SaaS model to an AI-native organisation. The decision, taken 2 years ago, is now beginning to show measurable results across operations and customer outcomes.
Founded in 2016 by Jay Vijayan, the US-based company operates from California with major centres in Bengaluru and Chennai, employing around 3,000 people globally. It primarily serves automobile dealers in the US, followed by Canada and the UK.
Vijayan had outlined the shift to his team despite initial resistance, as the existing cloud-driven SaaS model was already performing well. “I always believe in investing in the future and I’m glad we took that step 2 years ago,” he said. “It was better for us to do it sooner rather than someone else disrupting us.”
The transformation required deep structural changes. Engineers were instructed to embed agentic AI into every new product. This led to a complete overhaul of development processes, including adopting large language models and new data-driven approaches.
Internally, AI has improved coding efficiency, allowing teams to focus on higher-value tasks. Externally, clients now gain deeper insights into customer needs, helping drive business growth. Tekion also implemented guardrails and achieved ISO/IEC 42001 certification to ensure responsible AI use and data protection.
The company launched 3 AI products: a service AI agent for customer queries, Scheduler AI for managing calls beyond working hours, and a Technician AI platform for vehicle diagnostics.
After 2 years, results are visible. Employee productivity has increased by 50% without major investment growth. Around 40-50% of customer calls are now handled by AI without human involvement. In 2025, 17.5 million vehicle services in the US were booked through Tekion’s AI platform.
The Technician AI system enables automated vehicle inspections using camera-based scanning and AI-driven analysis. This helps identify repair needs quickly and accurately. Dealers also gain insights into call conversions and service revenues, enabling better upselling strategies.
Despite the transformation, the company maintained service continuity and controlled costs, while also driving a cultural shift within teams.
Looking ahead, Tekion plans to expand AI agents across functions such as insurance sales and post-sales services, bringing them together on a single platform. “This (agentic AI) journey has made us a lot more competitive and stronger. The future is looking even brighter for us as a true AI native company,” Vijayan added.
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