Bengaluru, India – Union Minister for Electronics and Information Technology Ashwini Vaishnaw announced that India now hosts over 2,000 Global Capability Centers, or GCCs. This significant expansion signals India's growing influence in artificial intelligence and technology services globally. Vaishnaw made the statement on Saturday in Bengaluru, highlighting a major shift in the country's IT sector. ^[1][2][3][4]The Minister explained that the presence of more than 2,000 GCCs in India surpasses the scale seen in traditional IT services. This growth reflects increasing global confidence in India's capabilities as a technology destination. I^[1]ndia's IT industry is transitioning from an older service model to a new one driven by AI, a change Vaishnaw described as a "fifth industrial revolution." T^[2][3][4][5]his transformation offers a big opportunity for India to become a global hub for next-generation digital services. ^[1]### India Becomes Global AI and Tech Hub Global Capability Centers, once seen mainly as back-office support units, have evolved into strategic innovation hubs. They now handle critical functions like product engineering, AI development, analytics, and global operations for their parent companies. T^[6][7][8]hese centers are creating high-value opportunities for Indian engineers and technology professionals. C^[1][2]ompanies are now using GCCs to expand their global presence, speed up market entry, and build resilient delivery models. ^[9]The shift is evident in the types of investments GCCs are making. Around 58% of GCCs are currently investing in "Agentic AI," and another 29% plan to do so within a year. F^[10]urthermore, approximately 83% of GCCs are scaling their Generative AI initiatives. T^[10]his focus shows that these centers are moving beyond simple support tasks to become engines where AI, data, and research and development converge. T^[10]his fundamentally reshapes how global enterprises operate and innovate. ^[10]Vaishnaw noted that AI can help Indian firms deliver specialized solutions to international clients. These include global shipping lines and retail companies. F^{[1][2][3][11][4]}or example, GCCs in the retail and consumer goods sector are becoming central to merchandising, sales, marketing, customer services, and store operations. T^[11]hey use AI for things like analyzing sales patterns for assortment planning and forecasting. ^[11]### Government Policies and Infrastructure Fuel Growth The Union Minister attributed this significant growth to supportive government policies and a strong ecosystem. This ecosystem combines skilled talent with expanding infrastructure. T^[1]he government is working closely with industry and academia to guide this transformation. T^{[1][2][3][12][4]}hey aim to ensure India can capitalize on the new industrial revolution powered by AI. ^[1]Infrastructure plays a critical role in supporting India's AI ambitions. Data centers are a major pillar for AI growth. C^[1][3][4][5]urrent committed investments in data centers range from $70 billion to $90 billion. V^{[12][13][14][15]}aishnaw expects these investments to exceed $200 billion in the coming months. T^{[12][13][14][15]}hese expansions are already attracting AI server manufacturing to India. Two companies plan to establish facilities in the country. ^[12]Vaishnaw stressed that robust computing facilities are essential. "If we have data centres, then we can provide AI services to the world," he said. T^[3][4][5]he Union Budget has also announced major reforms for data centers to support the rapid evolution of artificial intelligence. D^[2][3][4]omestic and foreign investors will receive equal tax benefits for data centers, showing the government's intent to make India a global hub for AI infrastructure. ^[2][3][5]### Developing a Skilled AI Workforce India is also focusing on developing a skilled workforce for the AI era. Over 200 colleges have updated their engineering programs to align with AI requirements. T^[2][3]he industry is actively working on a common curriculum, similar to approaches taken in the telecom and semiconductor sectors. T^[2][3]his coordinated effort between academia, industry, and government is crucial to ensure students and existing professionals gain the right skills for providing AI solutions. ^[3][12]The country's technology workforce is large and ambitious. While young, it is building on decades of experience in the IT sector. I^[16]ndia's GCC ecosystem reached a high level of maturity in 2025 with over 1.9 million professionals. T^[17]hese professionals power global engineering, AI, and product mandates. B^[17]y 2030, the number of professionals in GCCs is projected to exceed 3 million workers. The market size is expected to reach $125 billion. ^[18]Major cities like Bengaluru, Hyderabad, Chennai, Delhi NCR, Mumbai, and Pune host most of India's GCCs. H^[6][17][8]owever, tier-II cities are also attracting new centers. T^[6][8]his expansion highlights India's increasing role as a strategic destination for enterprise-grade innovation and support globally. ^[8]The rise of over 2,000 Global Capability Centers, coupled with significant investments in AI infrastructure and talent development, firmly positions India as a leading force in the global technology landscape.

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