GCCs Drive a New Phase of Growth for India as Global Firms Scale High-Value Operations

India’s Global Capability Centres (GCCs) are emerging as one of the most powerful structural growth engines for the country. Multinational companies are expanding hiring, capital expenditure, and the complexity of work handled from India at a pace that is now outstripping traditional IT services growth.

According to data highlighted at the Axis Capital conference, India is currently home to over 1,600 GCCs, employing more than 1.6 million professionals, making it the largest GCC hub globally. These centres, once focused largely on back-office and support functions, are increasingly handling core engineering, research and development, digital platforms, data science, and AI-led work for global parent companies.

Hiring Momentum Accelerates 

The report indicates that GCC hiring growth has consistently exceeded that of large IT services companies. GCCs now account for roughly one-third of incremental technology and white-collar hiring in India over the last few years. Headcount growth across GCCs is running at a mid-teens annual rate, even as global IT spending remains uneven.

Several multinational GCCs in India now employ 5,000 to over 10,000 people per centre. New centres are continuing to be added at a steady pace of 100–120 every year. This expansion reflects a strategic shift by global companies towards owning talent and intellectual property directly, rather than relying solely on third-party outsourcing models.

Shift Towards High-Value, Business-Critical Work 

A key takeaway from the report is the transition of GCCs from cost-arbitrage centres to business-critical hubs. More than half of all GCC activity in India now spans advanced digital and engineering functions, including cloud infrastructure, semiconductor design, analytics platforms, and enterprise software development.

The report notes that a growing number of GCCs are responsible for global product roadmaps and revenue-linked functions, embedding India teams directly into core decision-making processes. Financial services, technology, automotive, healthcare, and industrial multinationals are among the most aggressive expanders, using India-based GCCs to drive innovation rather than just efficiency.

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Rising Capital Investment

The scale-up of GCCs is translating into significant capital investment and office space absorption across India’s major commercial hubs. GCCs now account for 35–40% of net office leasing activity in markets such as Bengaluru, Hyderabad, Pune, and NCR, according to the conference data.

Large multinational GCC campuses increasingly span one to three million square feet, with long-term lease tenures of 10 to 15 years. This indicates a durable commitment to India operations. Bengaluru alone houses over one-third of India’s total GCC workforce, thus reinforcing its position as the country’s primary technology and innovation hub.

Cost Advantage Remains Intact 

Despite rising salaries and higher compliance costs, India continues to offer a 30–50% cost advantage compared with developed markets for equivalent engineering and digital roles. The report highlights that productivity-adjusted savings remain compelling for global firms, even after factoring in infrastructure investments and higher employee benefits.

This sustained cost competitiveness, combined with the availability of deep technical talent, has enabled GCCs to continue expanding amid global uncertainty and slowing discretionary technology spending elsewhere.

Growing Contribution To Services Export 

GCCs are also becoming a more significant contributor to India’s services exports. Axis Capital estimates suggest that GCC-led activities currently generate $45–50 billion in annual export revenues. The figure is expected to scale to $80 billion by the end of the decade as centres expand in size and move further up the value chain.

Unlike project-based IT outsourcing contracts, GCC revenues tend to be more stable and long-duration, hence providing greater visibility and resilience to India’s overall services export profile.

Structural Importance For India's Growth Model 

The report notes that GCCs are playing a critical role in strengthening India’s position within global value chains. By anchoring long-term multinational investment, creating high-skilled employment, and driving technology ownership, GCCs are reshaping India’s services-led growth model from volume-driven execution to capability-led value creation.

As global corporations prioritise operational control, data security, and product ownership, the GCC model is expected to remain a key driver of India’s economic and employment growth over the coming decade.

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