India's GCC Sector Booms: Revenue Soars 40% to $64.6 Billion in FY24

India's GCC count rises to 1,700 in FY24, revenue up 40% at $64.6 billion: report

India is the "GCC Capital of the World" with the largest base of 17% of global technology capability centers. By 2030, the GCC market in India is estimated to grow to $99-105 billion, with the number of GCCs reaching 2,100-2,200 and headcount rising to 2.5-2.8 million, the report highlighted.The number of global capability centres (GCCs) set up in India has increased to 1,700 in the fiscal year 2024 ending March, generating $64.6 billion in export revenue and employing over 1.9 million people, as per the latest Nasscom-Zinnov India GCC landscape report. The revenue is an increase of over 40% from $46 billion in the previous fiscal year ending March 2023. The total number of GCCs increased from around 1,580 employing around 1.66 million workforce. By 2030, the GCC market in India is estimated to grow to $99-105 billion, with the number of GCCs reaching 2,100-2,200 and headcount rising to 2.5-2.8 million, the report highlighted. According to the report, India is the "GCC Capital of the World" with the largest base of 17% of global technology capability centers. Although the Indian GCC landscape has become more diverse, the Americas continue their dominance with over 1000 GCC units. Further, over 220 GCC units are housed in emerging locations (Tier-II and Tier-III cities) in the country with Ahmedabad, Kochi, Thiruvananthapuram, and Coimbatore building critical mass. "While the initial wave of GCC growth was driven by large enterprises, more mid-market enterprises and unicorns are also setting up GCCs in India. Around 40 global unicorns have an India GCC presence as of 2024," the report said. "With a strong focus on innovation, these centers have the potential to transform into sandboxes for solutions tailored to diverse markets. They can unlock new growth by monetizing "India to India" services, leveraging local market insights, and expanding their domestic footprint. GCCs can lead the charge in embedding sustainability into global business practices, driving environmental stewardship and social responsibility across their operations," it said. Over the past five years, global roles in India have also expanded significantly, with more than 6,500 such positions now established. Interestingly, this includes 1100+ women leaders holding Global Roles. The average GCC talent has expanded by approximately 24% since FY2019 and is estimated at 1130+ employees in FY2024. The last 5 years have seen a rapid expansion in the GCC ecosystem. India remains well-positioned for future growth through prioritization on skills development, cybersecurity, and progressive policy frameworks. The country's emphasis on high-end engineering roles and strategic partnerships also enables it to meet the evolving needs of global companies, fostering sustainable practices and driving innovation, Nasscom-Zinnov said in the report. "GCCs have rapidly evolved from being operational hubs to becoming true engines of innovation and strategic growth. Their maturity in digital capabilities, engineering excellence, and advanced technology solutions is truly remarkable. 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," said Sindhu Gangadharan, chairperson at Nasscom. The report pointed out that between FY2019 and FY2024, more than 400 new GCCs and 1,100 new centers have been established in India with over 90% of the GCCs operate as multi-functional centers, supporting technology, operations, and product engineering. Engineering, research, and development (ER&D) GCCs, contributing $36.4 billion in revenue, have grown 1.3 times faster than the overall GCC growth rate, indicating a shift towards higher-value work. It also notes that the GCC Maturity Roadmap and showcases how GCCs have moved up the maturity scale, with almost 53% of GCCs in the portfolio and transformation hub stages. Given the exponential growth of AI and its potential to impact all products and services, GCCs in India are increasingly focused on building AI capabilities and driving the AI transformation for their internal enterprise. Capabilities include talent pool of over 120,000 AI professionals, with 30% of AI centres of excellence (COEs) housed in Software & Internet GCCs. "Over 185+ GCCs have set up dedicated AI / ML COEs and are building myriad use cases across customer experience, risk assessment, demand forecasting, model deployment, and coding assistants. More mature GCCs are further developing expertise in full-stack development, AI, IoT, and cybersecurity to create advanced solutions for both global and emerging markets," the report added. Pari Natarajan, CEO, Zinnov said "India has undeniably become the GCC capital of the world. Today we have more than 1700 GCCs in India with more than 1.9 million installed talent. 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. The new digital tech narrative, including Gen AI, automation, and productivity charters, is being largely driven through the Centers of Excellence model. What's truly exciting is how India has become a microcosm of global organizations." Natarajan added that every business unit and function now, has some representation here, making our GCCs the nerve centers of global tech advancement. "As we look ahead to 2030, we expect that 70% of Fortune 500 companies will be expanding their presence to India. The writing is on the wall - India is no longer just participating in the global tech narrative - we're authoring it," he added.

70% of Fortune 500 cos to expand their presence to India by 2030: Report

Another reason driving this growth is the AI-led transformation being driven from 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. Sindhu Gangadharan, chairperson, Nasscom, said, "GCCs have rapidly evolved from being operational hubs to becoming true engines of innovation and strategic growth. 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."