If you’ve been following India’s tech scene, you’ve probably noticed something interesting happening. Those boring old “offshore centers” your company set up to save money? Yes, they’re not so boring anymore. Welcome to the world of Global Capability Centers, or GCCs, and trust me, they’re having quite the moment.
Always good to start with some context. India is home to over 1,700 GCCs that generated about $64.6 billion in revenue in 2024, employing close to 2 million people. That’s impressive on its own, but here’s the kicker: India hosts about 70% of the world’s GCCs. We’re not just playing in this game, we’re basically hosting the entire tournament!
And if you think that’s something, buckle up for what’s coming. By 2030, projections suggest India’s GCC ecosystem could host 2,100-2,200 centers with revenues reaching $99-105 billion and a workforce of 2.5-2.8 million. Some estimates are even more bullish, with certain reports predicting the market could hit $110 billion.
Here’s what’s really fascinating: these aren’t your grandfather’s outsourcing centers anymore. Remember when companies set up India offices just to cut costs? Those days are fading fast. Over 50% of GCCs are now driving portfolio and transformation initiatives, meaning they’re not just executing orders from headquarters, they’re actually shaping global strategy.
Think about that for a second. The place that used to handle your IT helpdesk tickets is now deciding what products get built and why. More than 6,500 global roles have been established within Indian GCCs as of 2024, including over 1,100 women in leadership positions globally. These centers have evolved into genuine strategic partners.
If there’s one thing turbocharging this growth, it’s AI. And I’m not talking about some distant future scenario. Nearly 70% of GCCs are already investing in Generative AI in 2025, and over 60% will set up dedicated AI safety and governance teams by 2026. This isn’t pilot project territory anymore; companies are going all-in.
The impact on jobs is equally dramatic. The GCC workforce is projected to reach 3.46 million by 2030, adding 1.3 million new job roles. But these aren’t the same jobs we had five years ago. We’re talking about Cybersecurity and AI Governance Architects, Prompt Engineers, GenAI Product Owners, and AI Policy specialists. The whole talent landscape is being rewritten.
Here’s something else that’s changing the game: GCCs are spreading out. Sure, Bangalore, Hyderabad, and Pune are still the big players, but Tier-2 and Tier-3 cities like Ahmedabad, Thiruvananthapuram, and Coimbatore are gaining prominence, offering cost advantages of 25-30% compared to Tier-1 cities.
These cities have a growing pool of potential engineering and IT talent crossing over 71,000 in 2024, with lower attrition rates. Companies are discovering they don’t need to squeeze into the same congested metros everyone else is fighting over. There’s talent everywhere, and Tier-2 cities are proving they’re ready for prime time.
While tech and banking have traditionally dominated the GCC landscape, things are diversifying fast. Healthcare and Life Sciences have shown remarkable growth, driven by increased investments in AI-led diagnostics, patient experience platforms, and regulatory technologies. Manufacturing, pharmaceuticals, and even retail are getting in on the action.
About 35% of Indian GCCs are focusing on building innovation centers using cutting-edge technologies to drive transformation. These aren’t just service delivery units; they’re building intellectual property, designing products, and creating digital platforms deployed globally.
So what does the crystal ball say for the next half-decade? Buckle up, because it’s going to be a ride.
More Centers, Better Work: The total number of new GCC setups every year could jump to 115 from the current 70. But quantity isn’t the whole story. The quality of work is shifting dramatically toward high-value activities like product engineering, research and development, and strategic decision-making.
AI Goes Mainstream: By 2026, over 70% of India’s GCCs will implement technologies like machine learning for analytics and AI-driven customer support. This isn’t optional anymore; it’s becoming the standard operating procedure.
Leadership Exodus to India: Here’s something that would have seemed crazy a decade ago: global leadership roles are moving to India en masse. We’re not just executing anymore; we’re calling the shots. Expect to see more C-suite and VP-level positions based out of Indian GCCs.
The Talent Crunch (and How We’ll Deal with It): With all this growth comes a challenge: finding skilled people. Companies are responding with massive reskilling programs, partnerships with universities, and internal Centers of Excellence focused on AI, cloud, and automation. It’s creating opportunities for anyone willing to upskill.
Government Support Intensifies: States are rolling out the red carpet. Uttar Pradesh’s GCC Policy 2024 targets over 1,000 GCCs and 500,000 jobs, offering incentives like 100% stamp duty exemptions and payroll subsidies. When state governments are competing this aggressively for your business, you know the sector is hot.
Let’s be real for a second. It’s not all sunshine and unicorns. High attrition rates remain a persistent headache. Infrastructure gaps in emerging cities need serious attention. And as these centers take on more strategic work, they’re also taking on more complex challenges around data security, intellectual property protection, and regulatory compliance.
There’s also the question of whether we can sustain this pace. Can we really produce enough skilled talent to meet demand? Will costs eventually rise to the point where India loses its competitive edge? These are legitimate concerns that the industry is actively working to address.
The GCC story in India is one of the most underrated business narratives of our time. We’ve gone from being the world’s back office to becoming its brain trust. By 2030, the sector could generate up to $199 billion in direct value-add to the economy, cementing its status as a pillar of India’s knowledge-driven economy.
The next five years will be transformative. We’ll see more centers, better work, deeper AI integration, and a fundamental reshaping of how global companies think about innovation and where it happens. For anyone in tech, business, or policy, this is the trend to watch.
India isn’t just participating in the global knowledge economy anymore. Increasingly, we’re defining it. And if the trajectory of the last few years is any indication, we’re just getting started.