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Hyderabad gains ground over Bengaluru in attracting Global Capability Centres

India’s technology landscape is witnessing a noticeable shift as Hyderabad rapidly emerges as a preferred destination for Global Capability Centres (GCCs). Long recognised as the country’s primary IT hub, Bengaluru is now facing growing competition as global companies increasingly choose Hyderabad for new offices and operations.

For many years, Bengaluru dominated India’s technology sector. However, recent developments indicate that Hyderabad is quickly strengthening its position in the GCC ecosystem. Data reported by a financial news portal shows that 85 new greenfield GCCs were established across India in 2025. Out of these, 35 centres, about 41%, were set up in Hyderabad. In comparison, Bengaluru saw the establishment of 21 new units during the same period. The numbers highlight a shift in preference among global companies expanding their presence in India. Currently, nearly 1 out of every 5 GCCs in the country operates from Hyderabad.

The city’s growth is also creating new career opportunities for young professionals. Many graduates from smaller towns such as Guntur are securing jobs in global organisations based in Hyderabad. Engineers from these regions are now working in major multinational companies including JPMorgan Chase, Oracle Corporation and Advanced Micro Devices. These opportunities are helping many young professionals achieve financial stability and career growth.

Improving infrastructure is one of the major factors driving Hyderabad’s rise. Compared with Bengaluru, the city has seen relatively smoother development in areas such as roads, metro connectivity and IT parks. Although traffic congestion still exists, the overall environment is considered favourable for companies planning to establish new operations.

Another advantage is the ease of relocation and living in the city. Professionals from across India often find it easier to settle in Hyderabad without facing significant language barriers. The cost of living is also relatively lower than in several other large metropolitan cities, making the city attractive for both employers and employees.

Innovation centres are also playing an important role in attracting investment. Facilities such as T-Hub, which supports start-ups and technology ventures, and Genome Valley are strengthening the city’s ecosystem for technology and research-driven industries.

Meanwhile, Bengaluru continues to struggle with infrastructure pressures. Persistent traffic congestion, strain on existing facilities and rising living costs have become key concerns for companies operating in the city. Several industry leaders have warned that if these issues are not addressed, investments may increasingly move towards other emerging technology hubs.

Hyderabad is now expanding beyond its traditional strengths in pharmaceuticals and financial services. The city is steadily growing as a centre for technology, animation, start-ups and innovation-led industries. While preserving its cultural identity, Hyderabad is also building a modern technology-driven ecosystem. With its current pace of development, the city is widely viewed as a strong contender to become one of India’s leading IT capitals in the coming years.

Also read: Viksit Workforce for a Viksit Bharat

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