Hyderabad is seeing a broader shift in its global capability center (GCC) landscape, with companies from banking, financial services, insurance, pharmaceuticals and semiconductors expanding into the city. These businesses are using its talent and infrastructure for engineering, analytics and research functions alongside traditional technology operations.
A joint report by Anarock Research & Advisory and the Federation of Indian Chambers of Commerce and Industry (FICCI) Telangana said the trend is strengthening Hyderabad’s position as a multi-sector IT hub rather than only a technology delivery location.
The city is expected to absorb 8 to 12 million sq ft of new office space from GCC expansion over the next 3 to 5 years. Around 50 to 70 new GCCs are expected to establish operations in Hyderabad.
The city currently has more than 515 GCCs employing over 300,000 professionals, accounting for around 20% of India’s total GCC base.
The report said new entrants from BFSI, pharmaceuticals and semiconductors are setting up analytics, engineering and research functions instead of following the traditional business process outsourcing (BPO) model that shaped Hyderabad’s earlier outsourcing growth.
“The increase in GCC leasing reflects the expansion of global companies into larger and more sophisticated operations in Hyderabad,” said Anuj Puri, Chairman of Anarock Group.
BFSI, pharma and semiconductor companies are increasingly using AI-led analytics, compliance and engineering capabilities in the city. These functions represent a higher-value model than the transactional processing roles associated with the earlier outsourcing phase.
Hyderabad’s GCC ecosystem now also includes aerospace, automotive, healthcare, consumer goods and media technology, alongside BFSI and pharmaceuticals.
V V Rama Raju, Chairman of FICCI Telangana and Founder of Gaja Engineering, said the sectoral expansion shows Hyderabad moving beyond traditional IT and IT-enabled services.
“Hyderabad’s GCC base is broadening beyond traditional IT-ITeS activity as more sectors establish higher-value functions in the city,” said Raju.
The expansion is projected to create more than 75,000 jobs, pointing to continued demand for technology and non-technology talent over the next 3 to 5 years. The wider sector mix also positions Hyderabad as an alternative to Bengaluru and Pune for companies seeking technology expertise, domain knowledge and infrastructure.
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