India’s Innovation Engine Goes Global: The GCC Boom That’s Redefining the World’s Back Office

Why This Report Matters

The India GCC Thought Leadership Report 2025 by The Mainstream, in partnership with NTT DATA, maps a decisive shift in how global companies use India’s Global Capability Centres (GCCs). What began as cost-focused delivery hubs is fast becoming centres of innovation, product ownership, and enterprise transformation. India now hosts nearly 1,900 GCCs employing over two million professionals, with projections of 2,500 centres and a $110 billion market by 2030.

From Cost Centres to Innovation Hubs

The report shows a structural shift: GCCs are moving beyond arbitrage to own mission-critical work—core product engineering, advanced analytics, and end-to-end digital transformation. Nearly 40% of GCCs now self-identify as innovation hubs, a sharp rise from the last decade. Sectors like BFSI, healthcare, and tech are leading this transition, while manufacturing is steadily catching up. The message is clear: value creation, not cost savings, is the new mandate.

AI, Cloud, and Cybersecurity Take Center Stage

Technology priorities are converging around Generative AI, hybrid cloud, and cybersecurity. Over 70% of GCCs are investing in GenAI, and cloud is now everyday infrastructure for most centres, with hybrid models dominating. The report also flags cybersecurity as “non-negotiable,” as GCCs increasingly host mission-critical data and IP, making them high-value targets for attacks. The next phase of competitiveness will be decided by how fast GCCs move from pilots to enterprise-scale AI and secure-by-design platforms.

Talent: Quality Over Quantity

The talent model is being reset. GCCs are pivoting from mass hiring to specialised skills in AI, data science, cloud, and cybersecurity. Upskilling is now central to strategy, but demand is outpacing supply—especially outside Tier-1 cities. Compensation costs are rising, reframing success away from pure cost arbitrage toward total cost of ownership and revenue impact. Flexible work and gig models are emerging to close skills gaps faster.

ESG Moves Beyond Compliance

Sustainability is becoming a business driver, not just a reporting requirement. Over half of GCCs have adopted ESG policies, and many are seeking technology partners to track and audit sustainability outcomes. The report notes that translating ESG intent into measurable impact will require better data, tools, and reporting frameworks—turning sustainability into a source of competitive advantage.

What’s Holding GCCs Back

Three constraints stand out:

  1. Data and legacy IT debt that blunts the AI impact,
  2. Limited decision autonomy for Indian leaders, slowing innovation, and
  3. A perception gap at global headquarters, where GCCs are still seen as cost centres rather than strategic partners. Addressing these will unlock faster value creation.

The Road Ahead

The report concludes that India is entering a “golden period” for GCCs—if leaders invest boldly in AI-ready platforms, specialised talent, and global influence. The next winners will be GCCs that lead product innovation, not just execute it.

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