India’s Global Capability Centres (GCCs) have become a cornerstone of the country's economic expansion, and they are on track to reach an astonishing $100 billion (~Rs. 8.5 lakh crore) industry by 2030, employing more than 2.5 million professionals. This projected growth is a testament to the country’s prowess in delivering cost-effective solutions while integrating cutting-edge technologies like AI and machine learning. A recent report titled ‘India's GCC Landscape: A Strategic Pathway for Mid-Sized Aspirational Corporations to Scale Beyond’ sheds light on the rapid expansion and transformation of India’s GCC sector.

India is currently home to over 1,700 GCCs, generating US$ 64.6 billion (~Rs. 5.36 lakh crore) in annual revenue and employing around 1.9 million professionals across various domains. These centres are not only driving growth in traditional outsourcing services but have significantly transformed into key transformation hubs that handle high-level strategic functions like R&D, analytics, and AI-driven innovations. In fact, the report reveals that over half of these centres have evolved into high-impact strategic hubs in the last five years, and advanced AI technologies are expected to be implemented by 70% of GCCs by 2026. This trend highlights the sector's pivotal role in research and development and customer support innovations.

Cost Competitiveness Driving Growth

India’s cost competitiveness is a key driver for the global success of its GCCs. The operational costs in India are up to 40% lower than those in regions like Eastern Europe, providing corporations with a cost-effective alternative without compromising on the quality of services. This makes India an attractive destination for global businesses looking to optimize their operational expenses.

Bengaluru Leading the Charge

When it comes to top GCC hubs in India, Bengaluru (Bangalore) continues to lead the charge, contributing 36% of the workforce by H1 2025. This is largely attributed to Bengaluru's strong presence in the high-tech sector, which includes major players in cloud computing, AI, and software development. Following Bengaluru, the BFSI (Banking, Financial Services, and Insurance) sector represents 21% of GCC operations, with consulting services and manufacturing sectors contributing 10% each. This diversification in sectoral growth is paving the way for more high-value-added services being integrated within India’s GCCs.

Hyderabad and Mumbai: Emerging Powerhouses

While Bengaluru leads, Hyderabad is quickly emerging as a key player, contributing 14% of the GCC workforce. Hyderabad’s focus on cloud computing, AI, and cybersecurity has established it as an important hub for technology-driven services. Cities like Mumbai and Pune also contribute to the growth of India’s GCC sector, with 31% of the workforce. These cities are primarily driven by the high-tech and automotive sectors. The Delhi-NCR region, with its focus on industries such as oil and gas, Amazon Web Services (AWS), Internet of Things (IoT), and data analytics, contributes 22% of the total workforce.

The Future of India’s GCCs

The future of India’s GCCs looks bright as the country continues to expand its capabilities in AI, machine learning, and other advanced technologies. The growing trend of portfolio hubs and transformation centres will further strengthen the value proposition of India’s GCC sector, enabling it to serve as a crucial enabler of global business growth.

With a projected industry size of US$ 100 billion by 2030, India’s GCC sector is poised to become one of the most influential players in the global outsourcing industry. The strategic roles being taken on by these centres, combined with technological advancements and cost-effective operations, are set to fuel substantial growth in the coming years.

The Upcoming IPOs in this week and coming weeks are Lomosaic India, C2C Advanced System, Enviro Infra, Rajesh Power Services, Rajputana Biodiesel, Rosmerta Digital, Avanse Financial and Nisus Finance.

To explore more about the latest IPOs, top business news, and financial insights, check out the Best IPO to Apply Now - IPO List 2024, Latest IPO, Upcoming IPO, Recent IPO News, Live IPO GMP Today and Top News Headlines - Share Market News, Latest IPO News, Business News, Economy News.

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst & Finance Saathi Telegram Channel for Regular Share Market, News & IPO Updates.

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.