The Core Report

#866 India’s GCC Map Expands into New Industries

21 min

India's Global Capability Centers (GCCs) are experiencing significant growth, expanding into new industries like health tech and luxury cruises, and becoming crucial hubs for AI and machine learning innovation. The sector now boasts over 2,100 centers, contributing nearly $100 billion to the economy and attracting specialized talent, positioning India as a global leader in advanced technology capabilities. This growth outpaces traditional IT services, with a strong focus on high-value, innovation-driven work.

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✨ Key Takeaways

1

Rapid GCC Expansion: India now hosts over 2,100 Global Capability Centers (GCCs), employing 2.3 million professionals and generating nearly $100 billion in revenue, growing 32% since 2021.
2

AI and Innovation Hub: More than 1,200 GCCs have embedded AI/ML capabilities, with 250 dedicated Centers of Excellence focused on AI, indicating a significant shift towards high-value, innovation-driven work.
3

Diversification into New Sectors: GCCs are expanding beyond traditional IT into health tech, clinical intelligence, luxury cruise operators, global sports brands, hospitality, and even shoe companies, attracting investments from new countries like UAE, Denmark, and Belgium.
4

Outperforming IT Services: GCCs have shown faster growth rates (7-10%) and higher employee intake compared to traditional IT service providers in recent years, highlighting their increasing strategic importance within India's IT ecosystem.
5

Talent Focus Shifts: The primary concern for new GCCs is no longer volume but securing high-quality leadership and specialized AI talent, though India is noted for having the world's largest AI talent pool to meet this demand.

💬 Notable Quotes

"If you look at the last five years or so, I think we've grown at a very steady clip of about 78% on the GCC front, sometimes even 10%. And I think that has given us a lot of momentum in that space."
"Today, especially the new GCC's have been positioned as AI first GCC's, which means that they've been able to do a lot more interesting work, own a broader problem for their enterprise."
"The biggest advantage the GCC is getting today is not just hiring from each other, but sort of leveraging a broader ecosystem, which also means that... we have the largest pool of AI already talent in the world."