GCCs shifting focus to AI, ML & data analytics: report

According to a new report by GCC solutions consulting firm ANSR, approximately 80% of global capability centers (GCCs) in India are shifting their focus towards digital capabilities, specifically artificial intelligence/machine learning (AI/ML) and data analytics. This trend coincides with 74% of chief information officers (CIO) ranking AI as a top priority for fiscal year 2024. ANSR noted that this emphasis on digital capabilities surpasses the attention given to traditional tech capabilities like Application Development and Maintenance (ADM), which stands at 78%.

The report highlights the top five emerging and future-oriented skills in demand at GCCs, including generative AI, AI/ML, data analytics, cybersecurity, cloud computing, and robotics process automation (RPA). ANSR underscores GCCs’ commitment to talent development, with ongoing upskilling and reskilling programs aimed at adapting to evolving industry needs and fostering an innovative and agile organizational culture.

India holds over 50% of the global GCC market, with an estimated 5,000 global leadership roles located in Indian GCCs. The sector, currently valued at $46 billion, is projected to reach $110 billion by 2030. GCCs are evolving to become ‘digital twins’ of their headquarters, with about 40% of corporate headcount operating from GCCs. By the end of 2024, Indian GCCs are expected to host over 60 CIOs and SVP leaders.

The report predicts that the growth trajectory of GCCs will result in the employment of over 4.5 million professionals across 2,400 GCCs, leveraging India’s skilled workforce and favorable economic conditions. Bengaluru and Hyderabad are identified as major GCC hubs, followed by Delhi, Mumbai, Pune, and Chennai. Additionally, emerging locations like Gujarat International Finance Tec-City (GIFT City) in Ahmedabad are gaining traction due to regulatory benefits and infrastructure advantages.

The report also highlights GCCs’ attractiveness for talent migration amid global economic challenges, offering insights into real estate projections and the potential for leasing office space in both metro and non-metro clusters. Overall, India remains the preferred destination for setting up GCCs due to its abundant tech talent, robust startup ecosystem, and government support.