Not long ago, global companies set up offshore centers in India to cut costs handling back-office tasks, IT support, and basic operations. Fast forward to today, and that narrative has flipped entirely.
Global Capability Centers in India (GCCs) have become the nerve centers of global enterprises. They’re building AI tools, driving cybersecurity innovations, and shaping global strategies. And India? It’s the heart of this transformation.
But before we explore why India has become the epicenter of this shift, let’s first understand what exactly a Global Capability Center is and why it plays such a pivotal role in today’s business landscape.
A Global Capability Center (GCC) is a dedicated offshore unit established by multinational companies to drive critical business functions — from technology and operations to innovation and strategy. Often referred to as Global In-house Centers (GICs) or Captive Centers, these hubs were originally set up to manage backend functions at lower costs. But that’s no longer the case.
Today’s GCCs are strategic powerhouses operating as high-impact extensions of the core business. They now lead critical work in areas like AI, cybersecurity, data science, product development, and enterprise transformation. These centers bring together top-tier talent, scalable digital infrastructure, and seamless global collaboration under one roof.
By embedding strategic expertise where the talent lives, GCCs help global organizations:
In markets like India, GCCs have become innovation engines shaping products, policies, and business models that serve global customers. They’re not just part of the organization anymore; they’re at the center of it.
As GCCs evolve from backend operations to strategic hubs, India has positioned itself at the forefront of this transformation.
In the early 2000s, India’s appeal was primarily cost efficiency and access to a deep talent pool. But multinationals soon discovered something much bigger — India offered speed, scalability, and strategic depth.
By 2024, India is home to over 1,800 GCCs, employing nearly 2 million professionals, and generating $64.6 billion in revenue. And the momentum is only growing — by 2030, projections show 2,400+ centers, $100 billion in value, and 2.8 million skilled professionals powering global business. So, what makes India the go-to?
Compared to other popular outsourcing destinations like Mexico and the Philippines, India brings together a rare and powerful mix of advantages.
Talent Density India is home to the world’s largest pool of tech and digital professionals, with strong expertise in areas like AI, machine learning, cybersecurity, and cloud computing.
Cost-Effectiveness Beyond just being cost-efficient, Indian teams are now delivering high-impact, strategic outcomes that add real value to global operations.
Scalability and Maturity With more than 30 years of experience hosting GCCs, India offers a mature, well-established ecosystem and it’s still growing. Tier-2 cities are emerging fast, unlocking new opportunities for expansion beyond the traditional metros.
The days of handling only tech support or payroll processing are long gone.
Today’s GCCs are full-stack innovation engines, fueling global competitiveness with:
Talent & Leadership Development Building local leadership pipelines with global responsibilities.
Centers of Excellence From AI and data science to cybersecurity and product design.
Enterprise Infrastructure World-class security and infrastructure standards that rival HQ setups.
Put simply, Global Capability Centers in India don’t just support the business; they move the business forward.
Bangalore, Hyderabad, and Pune may have been the early champions of India’s GCC story — but the next chapter is unfolding elsewhere.
As metro cities face rising costs and fierce competition for talent, enterprises are turning to Tier-2 cities like Coimbatore, Ahmedabad, and Kochi — now emerging as the new hotspots for high-impact GCC setups.
Operational expenses in these cities are 30–40% lower compared to metros — without compromising on talent or quality.
These cities offer a skilled, stable workforce with significantly lower attrition rates — a huge plus for long-term operations.
State governments are rolling out incentives that make it easier than ever to set up and scale.
From upgraded infrastructure to seamless digital connectivity, Tier-2 cities are now truly global-ready.
India’s GCC map is expanding and cities like Coimbatore are no longer just alternatives. They’re becoming first-choice destinations
Setting up a GCC isn’t just about finding office space and hiring talent. It’s about building a strategic extension of your enterprise one that’s agile, future-proof, and built to deliver long-term value. That’s where KGiSL comes in.
With decades of experience and deep roots in India’s tech ecosystem, KGiSL helps global enterprises stand up and scale full-stack GCCs that go far beyond the basics.
Here’s what sets us apart:
Whether you need a classic Build-Operate-Transfer or a nimble HBOT or BOT On Call, we give you the freedom to scale your GCC, your way.
From AI and cybersecurity to digital transformation strategy, we bring cutting-edge expertise that’s baked into every build.
We don’t just help you run operations we help you run ahead. Our centers are designed to be true competitive differentiators.
The right GCC partner doesn’t just execute—they think, operate, and innovate like your core team. With KGiSL, you get
100% alignment with HQ goals and culture
Dual-sourced talent pools for agility and resilience
Leadership roles based in India with global remits
End-to-end support from setup to scale
Many companies worry about losing control when working with external partners. We solve that by becoming an extension of your enterprise, not just another vendor.
As digital transformation accelerates, GCCs will keep evolving. Here’s what’s shaping the next decade:
78% of new GCCs are being built with AI innovation as a top priority.
GCCs are influencing product strategy and driving enterprise-wide decisions.
With rising threats, robust frameworks are now table stakes
Hybrid models, remote collaboration, and global agility will define the future.
AI, blockchain, cloud — continuous learning will be a GCC superpower.
GCCs aren’t a trend; they’re a strategic imperative for forward-looking enterprises. And those that invest now will gain a significant competitive edge tomorrow.
With India’s deep talent ecosystem and KGiSL’s unmatched experience in building high-performance GCCs, the question isn’t if you should build one it’s how soon.
Ready to build your future-ready GCC? Let’s talk.
