India has emerged as a hotspot for global capability centres (GCCs), attracting both Fortune 500 companies and smaller mid-sized firms eager to leverage the country’s skilled workforce, cost efficiency, and stable business environment. According to a report by *The Economic Times*, the past eight months have seen several mid-sized GCCs, with 1,000 to 2,000 employees, establishing operations in India, further solidifying the country’s growing reputation in this space.
These new entrants join larger corporations, some of which now employ 10,000 to 15,000 people in India, managing diverse functions such as customer support, data analysis, and advanced research and development. Among the notable newcomers are Flutter Entertainment, Hy-Vee Inc., ChampionX, Neighborly, Blackbox, Okta, and Indus Pharma.
Indian GCCs have evolved significantly in recent years. Moving beyond traditional knowledge process outsourcing (KPO) and business process outsourcing (BPO) models, they now serve as sophisticated hubs of innovation and knowledge. This shift has driven a surge in demand for office space, particularly in tech-centric cities like Bengaluru and Hyderabad, which have accounted for 60% of all GCC leasing activity in India since 2021.
According to data from Colliers, technology-driven GCCs represent 40% of total GCC leasing, occupying more than 56 million square feet of office space since 2021. Other industries, such as banking, financial services, insurance (BFSI), engineering, and manufacturing, are also increasingly adopting the GCC model.
Industry leaders observe that smaller and mid-sized firms are now actively adopting the proven GCC model to scale operations, increase productivity, and remain cost-competitive. Gaurav Gupta, partner and GCC industry leader at Deloitte India, explained that smaller GCCs often take a multifunctional approach from the outset, learning from established players and focusing on high-value tasks early in their development.
The GCC trend in India, which began with major banks and tech companies in the late 1990s and early 2000s, has expanded significantly. As advancements in technology and data-driven insights continue to shape industries, India’s appeal as a global hub for capability centres continues to rise, drawing firms from across the globe.
