India-based global capability centres (GCCs) have redefined the country’s tech landscape over the last five years. According to a report, 70 per cent of Fortune 500 companies will expand their presence to India by 2030.
The report by Nasscom and Zinnov titled ‘India GCC Landscape Report: The 5-year Journey’ stated that the GCC revenue by 2030 was expected to touch between $99 billion to $105 billion, at a compound annual growth rate of 9-10 per cent from the current revenue of $64.6 billion.
It also said the number of GCCs is expected to reach 2,100-2,200 in 2030 from the current figure of over 1,700. This growth will be driven by developments such as global roles moving to India, AI Centres of Excellence (CoE) and overall engineering and R&D focus.
The report pointed out that the expansion of global roles in Indian GCCs was driving the growth of the industry. Over 6,500 roles are housed in Indian GCCs and are expected to cross 30,000 over the next 6 years. These global roles span engineering, IT, shared services, and multiple verticals.
The other reason for this growth is the AI-led transformation being driven by these India-based GCCs. The report highlights that over 500 centres are now dedicated to AI and machine learning (ML). Additionally, over 120,000 AI professionals are present across GCCs and CoEs in India.
“GCCs have rapidly evolved from being operational hubs to becoming true engines of innovation and strategic growth,” said Sindhu Gangadharan, Chairperson, Nasscom.
“As they advance along the maturity curve, they are increasingly positioned to lead global agendas, secure critical managerial roles, and shape decision-making processes, setting the stage for India to become a global leader in digital transformation and sustainable business practices,” she said.
The increase in GCC centres in India has led to an increase in the talent pool. The headcount at GCCs is expected to go up to 2.5-2.8 million in 2030, from the current 1.9 million, the report said.
Shifts like GCC expansion into Tier-II and III cities, and Global Unicorn and Global 2000 enterprises setting up centres, have led to a 60 per cent increase in revenue and a 36 per cent increase in headcount between FY19-24.
“India has undeniably become the GCC capital of the world. And it’s not just the scale, India’s GCCs are also driving high-value charters, where we are witnessing a shift towards portfolio and transformation hubs, with increasing product ownership from India,” said Pari Natarajan, CEO, Zinnov.
Growing presence
30,000+: Expected number of roles in Indian GCCs to increase in the next 6 years
$99 bn-$105 bn: Anticipated GCC revenue by 2030 with CAGR 9-10% from the current revenue of $64.6 bn
2,100-2,200: Number of GCCs to grow till 2030
Global roles moving to India, AI centre of excellences and overall engineering, and R&D focus to drive the growth
First Published: Sep 11 2024 | 5:43 PM IST
