Mumbai, Feb 17: India’s Global Capability Centers (GCC) leasing activity reached a record 31 million sq. ft in 2025, reflecting the evolution of a sophisticated ecosystem of specialised metropolitan hubs, each commanding distinct competitive advantages across critical industry verticals.
According to New JLL report titled India GCC Guide 2025 the top six major cities have strategically positioned themselves as GCC powerhouses across a diverse spectrum but with unique offerings to specific sectors.
Bengaluru commands a 34-39% market share through its over 900 GCC units, setting the benchmark as the leader of the pack, while Hyderabad’s 20-23% market capture is built upon its status as the undisputed healthcare-biotech sector leader. This geographic specialisation model is reshaping how multinational corporations approach their Indian operations, moving beyond simple cost arbitrage to leverage each city’s unique strengths.
“India’s GCC landscape has evolved, moving beyond simple cost arbitrage to leverage each city’s unique strengths. The numbers tell a compelling story of sustained growth and maturation. With over 90% of current GCC activity concentrated in Tier I cities, these centers have commanded more than 263 million sq. ft of Grade A office stock across the top seven cities, while driving 40% of all office leasing activity over the past decade. What we are witnessing is not just expansion but acceleration. Over 200 new GCCs have entered India in just the last two years, with projections indicating total GCC footprint will surpass 350 million sq. ft within the next 3-4 years. This growth is particularly driven by US-headquartered firms, which represent 70% of all GCC demand from 2018 to 2025, underscoring India’s strategic importance to American enterprises. The future belongs to GCCs that view location strategy not as a cost center, but as a competitive differentiator, leveraging India’s multi-tiered city framework to build resilient, scalable operations that can adapt to changing global business demands. This multi-year growth trend reflects a fundamental shift where India has become indispensable to global corporate strategy, offering not just operational efficiency but strategic capability building across the entire value chain,” said Dr Samantak Das, Chief Economist and Head of Research and REIS, India, JLL.
Bengaluru solidifies its position as India’s undisputed GCC capital
Bengaluru continues to dominate India’s GCC ecosystem, with the Silicon Valley of India now hosting over 900 GCC units, leveraging its robust talent pipeline, mature business ecosystem, and established tech credentials. The city’s strength spans IT/ITeS, research and development across engineering and manufacturing sectors, innovation centers spearheading cutting-edge analytics, and retail operations, making it the preferred destination for companies seeking comprehensive offshoring capability development.
“Bengaluru continues to solidify its position as India’s undisputed GCC capital, with over 900 GCC units now operating in the city. The city’s commanding 34-39% market share is built on its robust talent pipeline, mature business ecosystem, and established tech credentials. Bengaluru’s comprehensive strength across IT/ITeS, research and development, innovation centers, and retail operations makes it the preferred destination for companies seeking world-class offshoring capability development,” said Rahul Arora, Head – Office Leasing & Retail Services, Senior Managing Director (Karnataka, Kerala), India, JLL.
Hyderabad emerges as healthcare-biotech leader
Hyderabad has captured 20-23% of India’s overall GCC market, establishing itself as the country’s premier destination for healthcare and biotechnology operations. The city’s strategic advantages include world-class infrastructure, government policy incentives, and a rapidly growing talent pool specialising in BFSI and analytics as well. Key growth sectors include IT/ITeS, semiconductors, biotechnology, pharmaceuticals, and life sciences, positioning Hyderabad as a critical hub for innovation-driven enterprises.
Pune has secured 15-20% of the national GCC activity over the past four years, attracting major multinational corporations through superior quality-of-life metrics, talent availability and strategic sector positioning. The city excels in BFSI, automotive, IT/ITeS, manufacturing, and engineering services. Similarly, Chennai has experienced strong demand growth year-over-year since 2023, cementing its status as India’s manufacturing and automotive hub with complementary strengths in IT/ITeS, BFSI, and Engineering Research & Development (ER&D) build on its STEM talent base.
Delhi NCR has evolved into a corporate services powerhouse, capitalising on its diverse economic base and strong growth momentum. The region demonstrates strength in IT, BFSI, e-commerce and retail, healthcare, consulting, and education sectors. Mumbai, as India’s commercial capital, continues to attract strategic capability and solutions center set-ups driven by major banks, financial institutions, and multinational corporations, with BFSI continuing to remain its primary sector of excellence.
Tier II cities could be new frontiers for GCC set-ups
While Bengaluru, Hyderabad, and Pune with the other major metros have long dominated the landscape, a shift is underway as global enterprises discover the untapped potential of India’s Tier II cities.
From the industrial and GIFT City corridors of Ahmedabad to the cultural capitals of Kolkata and Jaipur, secondary cities are rapidly transforming into sophisticated business hubs. This is not just geographic expansion; it is a strategic evolution driven by compelling business economics and emerging opportunities. Companies are achieving 10-35% cost savings while accessing fresh talent pools previously beyond reach. From Coimbatore’s engineering excellence to Mysuru’s IT prowess, and Kochi’s emerging tech ecosystem, these geographies represent more than cost arbitrage, they embody India’s distributed innovation model coming of age. Smart infrastructure investments, progressive state policies, and digital connectivity improvements have eliminated traditional barriers that once limited these cities. The result is that organisations are building operational resilience through geographic diversification while unlocking value that combines service delivery at scale with cost efficiencies. This migration represents India’s GCC sector maturing beyond the confines of established metros. As global enterprises seek sustainable growth models, Tier II cities offer a confluence of talent, cost efficiency, and infrastructure readiness.
The road ahead
As India’s GCC landscape continues to evolve, organisations that embrace strategic geographic diversification will be best positioned to capitalise on the country’s vast talent ecosystem while optimizing operational efficiency. The future belongs to GCCs that view location strategy not as a cost center, but as a competitive differentiator, leveraging India’s multi-tiered city framework to build resilient, scalable operations that can adapt to changing global business demands.