Costco is looking to strengthen its technology presence in India as it accelerates international expansion, with its Hyderabad global capability centre (GCC) expected to play a bigger role in AI, cybersecurity and other global operations.
The US-based retailer’s first global capability centre currently employs more than 70 people. Javier Polit, Costco’s chief information and digital officer, told reporters on Thursday that the workforce could grow to several hundred over the next 5–6 years, although he did not disclose a specific hiring target.
“We’re going to grow our business internationally at a greater velocity than we have been in the past. So there’ll be more presence in this geography for sure,” Polit said, adding that India was already important to the company’s growth plans.
AI drives productivity and new technology projects
Polit said AI has delivered productivity improvements of up to 60% in some technology projects. Costco is therefore developing more tools in India for use across its global operations.
One example is a geofencing tool developed in Hyderabad. It identifies customers approaching stores and helps speed up check-in and checkout processes.
The centre will also support data and analytics, business software and digital advertising operations.
Costco plans to strengthen its in-house workforce
Costco expects its technology workforce to shift towards a 75% employee and 25% contractor mix over time. The current workforce is divided roughly equally between employees and contractors. The change reflects the company’s plan to build stronger in-house engineering and technology capabilities.
The Hyderabad GCC was established with support from consulting firm ANSR. The centre was previously reported to have the potential to employ around 1,000 people.
India’s GCC role continues to evolve
Global capability centres were initially used mainly by multinational companies to reduce costs. They now handle higher-value functions, including technology, finance, product development and research.
Costco operates membership-only warehouse clubs across North America, Europe and Asia. Its bulk-buying and low-price model has helped build a loyal customer base as the retailer continues its international expansion amid resilient consumer demand.
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